Under Section 205C of the Companies Act, 1956, companies are required to transfer such amounts as have remained unclaimed and unpaid with them on account of dividends, matured deposits and debentures, for a period of seven years from the date that they became due for payment, to Investor Education and Protection Fund (IEPF). Giving this information in written reply to a question in the Lok Sabha today, Shri Sachin Pilot, Minister for Corporate Affairs, said that an amount of Rs. 693.37 crore has been credited to the IEPF, which forms part of the Consolidated Fund of India (CFI), for the period 2001-02 to 2012-13. No instance of a company transferring such unclaimed funds to its balance sheet has so far come to the notice of the Government.

Unclaimed corporate dividends and matured debt must be transferred to Investor Education and Protection Fund after seven years. Companies must transfer amounts unclaimed and unpaid on account of dividends, matured deposits and debentures, after seven years from their due date, to the Investor Education and Protection Fund, which is part of the Consolidated Fund. Reported aggregate credits to the Fund over the relevant period are substantial, and no instances have been observed of companies transferring such unclaimed amounts to their own balance sheets.