India Holds Unclaimed Dividends Worth ₹6,000–7,000 Crore: How Investors Can Recover Their Funds

A significant pool of unclaimed investor wealth continues to lie with the Investor Education and Protection Fund Authority, with unclaimed dividends estimated at ₹6,000–7,000 crore. Alongside nearly one billion unclaimed shares, this highlights the scale of pending investor entitlements. 

To improve refund efficiency, IEPFA is preparing to introduce a new digital feature aimed at accelerating the processing of lower-value claims.

IEPFA’s Role in Managing Unclaimed Assets

The Investor Education and Protection Fund Authority is responsible for administering the Investor Education and Protection Fund. Its mandate includes facilitating the return of unclaimed dividends, shares, matured deposits and debentures to rightful owners. 

The authority also undertakes initiatives to promote investor awareness, strengthen transparency and safeguard shareholder rights.

New Portal Feature to Accelerate Low-Value Claims

According to a government official, IEPFA is expected to launch a new feature on its integrated portal within the next two months. 

The facility is designed to enable faster processing of refund or share-transfer claims valued below ₹5 lakh per investor.

Technology tools, including artificial intelligence-based systems, are expected to support automated post-approval processing, reducing the time required to return assets to claimants.

Scale of Unclaimed Shares and Dividends

IEPFA currently holds around one billion unclaimed shares, estimated to be worth approximately ₹1 lakh crore. 

In addition, unclaimed dividend payouts are valued at ₹6,000–7,000 crore. These figures underline the volume of investor funds awaiting recovery through the claim settlement mechanism.

Expected Reduction in Processing Time

At present, once a claim is approved, the transfer of shares or refunds typically takes around one month to complete. 

With the introduction of the new portal feature, this period is expected to shorten to about six to seven days for eligible low-value claims. The manual approval stage will continue, while the post-approval transfer process will be largely technology-driven.

How the Claim Settlement Process Works?

The claim settlement process involves multiple verification steps. IEPFA officials first review investor applications on the integrated portal. Following this, the request is sent to the issuing company for verification of claim details. The company then submits its verification report to IEPFA. After final internal verification, the authority issues a sanction order, and the shares or funds are credited to the investor’s demat or bank account.

Government Focus on IEPFA Reforms

Reforms at IEPFA have been under continued review, with involvement from the Prime Minister’s Office and the Ministry of Corporate Affairs. Efforts are focused on simplifying procedures and ensuring that rightful owners can recover their assets with fewer procedural delays.

Read More: EPFO 3.0 Set for Launch Soon: How It Compares with EPFO 1.0 and 2.0.

Conclusion

The planned upgrade to IEPFA’s digital infrastructure reflects ongoing efforts to improve the efficiency of refunding unclaimed dividends and shares. As the new portal feature is introduced, investors may experience faster turnaround times for smaller claims, while the broader reform process continues to address procedural complexity and verification requirements.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.