SEBI Proposes Timelines for Transfer of Unclaimed NCS Amounts to IEPF/IPEF

Consultation Paper; Dated: 24.10.2025

The Securities and Exchange Board of India (SEBI) has proposed an amendment to Regulation 61A of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 to clarify the timeline and process for the transfer of unclaimed amounts by entities that have issued listed non-convertible securities.

1. Objective of the Proposal

The proposed amendment aims to:

• Promote ease of doing business,
• Standardise compliance procedures across issuers, and
• Align SEBI’s framework with the provisions of the Companies Act, 2013 for consistency and clarity.

2. Key Proposal

• Timeline for Transfer – Entities with listed non-convertible securities will be required to transfer unclaimed amounts to the Investor Education and Protection Fund (IEPF) or the Investor Protection and Education Fund (IPEF) after the completion of seven years from the date of maturity of such securities.
• Mode of Transfer – The transfer shall be carried out in accordance with Section 125 of the Companies Act, 2013, ensuring uniformity in procedure and record maintenance.

3. Expected Impact

The amendment will:

• Eliminate ambiguity regarding the timing and mechanism of fund transfer,
• Simplify regulatory compliance for issuers, and
• Enhance investor protection by ensuring timely transfer of unclaimed amounts to designated funds.

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