Reasons for Rejection of IEPF-5 Claims

Reasons for Rejection of IEPF-5 Claims. Many IEPF-5 claims get rejected not because the investor is not eligible, but simply due to avoidable mistakes. Most people do not realise how important it is to keep all documents consistent. Small errors like spelling mistakes in names, wrong bank details, or mismatched folio numbers can easily lead to rejection.
For legal heirs, many claims are filed without proper succession papers, which creates disputes and slows down verification. Another common problem is when people do not dematerialise their shares before applying, especially if they still hold physical share certificates.
Many applicants think that filing the form online is enough, but they forget that physical documents must also be sent to the company’s Nodal Officer within the required time. In addition, key documents like the indemnity bond or affidavit are often incomplete, signed incorrectly, or not stamped properly, causing the IEPF Authority to raise objections.
Because of these small mistakes, even genuine claims get delayed or rejected, and people have to wait longer to get their own money back. This shows that getting an IEPF-5 claim approved is not just about being eligible it depends more on following the correct process, submitting proper documents, and sticking to the timelines right from the start.
Incomplete or Incorrect Information in the IEPF-5 Form
This is one of the main reasons claims get rejected. Many people leave important details blank or enter wrong information that doesn’t match the company’s records.
Typical errors include:

Misspelled or mismatched names.

Wrong folio numbers or ISINs.

Incorrect dividend years.

Typographical errors in PAN or Aadhaar numbers.

Errors in bank account or Demat account details.

How to Prevent This:

Use your latest documents when entering data.

Cross-verify with old dividend warrants, share certificates, or Demat statements.

Avoid spelling mistakes like your name in PAN, Aadhaar, and Demat account is identical.

Double-check all entries before final submission.

Missing or Improperly Attested Documents 
Each IEPF-5 claim must be supported with a precise list of documents. If any required document is missing, expired, unclear, or not self-attested/notarized properly, the claim will be invalidated.
Frequently required documents:

PAN card or Aadhaar copy.

Original share certificates or proof of shareholding.

Proof of entitlement (e.g., dividend warrant or bank statement).

Cancelled cheque leaf.

Indemnity bond and affidavit in the prescribed format.

How to Prevent This:

Refer to the official IEPF checklist.

All copies must be self-attested.

If notarization is required (such as in indemnity bonds), get it done by a public notary.

Ensure clarity in scanned copies and maintain consistency in all personal details.

Physical Submission Not Done Timely 
After submitting Form IEPF-5 online, you must send the required physical documents to the company’s Nodal Officer within 15 days. If this is not done on time, the claim often gets rejected.
How to Prevent This:

Print and compile the IEPF-5 form and acknowledgement immediately after e-filing.

Use a trusted courier or India Post service to dispatch the package.

Get tracking proof and ensure delivery within 15 days of filing the form.

Clearly label the envelope as “IEPF-5 Claim Submission”.

Legal Heir or Nominee Claims Without Proper Proof 
When filing a claim on behalf of a deceased shareholder, legal heirs must present appropriate documentation. Claims are rejected when:

No valid legal heirship certificate is provided.

There are conflicting claims from multiple heirs.

The succession process is incomplete or legally insufficient

How to Prevent This:

Get a succession certificate from a civil court or a probate of the will, where applicable.

If there are multiple heirs, ensure joint declaration or No Objection Certificates (NOCs) are obtained.

Keep copies of the shareholder’s death certificate and your relationship proof ready.

Filing Multiple or Duplicate Claims 
If the same shares or dividends are claimed more than once by mistake or because of a dispute the IEPF usually rejects the claim automatically.
How to Prevent This:

Maintain a log of SRNs and IEPF-5 filings to avoid duplication.

Do not submit a new claim unless the earlier application has been properly withdrawn or closed

If any issue arises, consult the company’s Nodal Officer for guidance before submitting again.

Filing Beyond the Permissible Timeframe 
While the Companies Act, 2013 does not impose a strict time bar for claiming from the IEPF, some claims are rejected when:

The seven-year holding period itself is not met (premature filing).

Documents submitted are outdated or expired (e.g., old bank account proofs).

How to Prevent This:

Confirm eligibility: check if the shares/dividends are indeed transferred to IEPF.

Use the IEPF website’s “Search Unclaimed Amount” facility.

Submit updated address and bank proofs to avoid technical lapses.

Non-Payment or Lack of Proof of Mandatory Fees 
Although IEPF claims themselves are not charged a fee by the Authority, some companies require a nominal fee for processing or issuing duplicate share certificates.
How to Prevent This:

Check with the company if any fee applies for:

Issuance of duplicate shares

Signature verification

Postal or notarial requirements

Retain all receipts and enclose proof of payment in the submission packet.

Power of Attorney Claims Without Proper Authorization 
Claims filed through Power of Attorney (PoA) representatives are rejected if the documents are not executed correctly.
Issues include:

PoA is not specific to IEPF matters.

PoA not notarized or registered properly.

Identity mismatch between PoA holder and the claim documents.

How to Prevent This:

PoA should be specific, mentioning the IEPF claim filing authority.

Execute the PoA on an appropriate stamp paper.

Notarize and enclose the original or certified copy with the claim form.

Issues with the Dematerialization Process 
For shares in physical form, dematerialization must be done before initiating the IEPF claim. Many claims are rejected because:

The shares were not dematerialized.

The DRF (Dematerialisation Request Form) was incorrectly filled.

Demat account details in the IEPF-5 form are wrong.

How to Prevent This:

Open a Demat account with a SEBI-registered DP.

Submit a DRF along with your original share certificates.

Wait for demat confirmation before filing IEPF-5.

Provide correct Client ID and DP ID.

Failure to Respond to Queries from Company or IEPF Authority 
In certain cases, the Nodal Officer or IEPF Authority may raise follow-up queries. Non-response within the timeframe results in the claim being closed.
How to Prevent This:

Monitor your registered email regularly.

If a query is raised, respond within 15 days (or sooner if possible).

If postal communication is delayed, proactively reach out to the company or IEPF contact center.

Improper Execution of the Indemnity Bond 
The indemnity bond is one of the most sensitive documents in the claim process. Common rejection causes include:

Incorrect format or language.

Missing stamp duty payment.

Bond not notarized or improperly signed.

How to Prevent This:

Use the IEPF Authority’s prescribed format for the bond.

Get it executed on the correct stamp paper value as per your state’s Stamp Act.

Sign clearly and notarize before submission.

Mismatch in Financial and Bank Details 
Bank details provided in Form IEPF-5 must be precise. Claims are rejected when:

IFSC code is incorrect.

Account name doesn’t match the claimant’s name.

Account is inactive or closed.

How to Prevent This:

Provide an active account where your name is clearly printed on the cheque leaf.

Preferably use a bank statement or a recent passbook copy as supporting proof.

Ensure the bank account matches the name and PAN in the IEPF form.

Incomplete or Failed Verification by Nodal Officer 
After you submit your documents to the company, the Nodal Officer verifies your claim. If they find discrepancies or missing documents, your claim is rejected at this stage.
How to Prevent This:

Maintain communication with the company’s Nodal Officer post-submission.

Follow up for confirmation of document receipt and verification timeline.

Be proactive in resolving any gaps pointed out during verification.

Tips for Successful IEPF-5 Approvals with MCA
To ensure that your IEPF-5 claim gets approved:

Read the Latest Guidelines: Visit iepf.gov.in and consult the IEPF-5 instruction kit.

Prepare a Comprehensive Checklist: Include every required document ID proofs, entitlement proofs, indemnity bond, and notarized affidavits.

Monitoring : Regularly monitor emails and updates on your claim status using the SRN.

Keep Copies of All Submissions: Maintain both digital and physical records of forms, dispatch slips, courier receipts, and communications.

Engage with Professionals: In complex legal heirship or dematerialization process, consider professional help.

Reclaiming your lost shares or dividends through Form IEPF-5 is a proper and legal way to get back money that belongs to you or your family. But the process needs correct documents, proper steps, and timely follow-up. Even a small mistake can delay or stop your claim.
Knowing the common reasons why IEPF-5 claims get rejected helps you avoid such issues. If you prepare your documents carefully and follow all requirements, your claim is more likely to be approved.
By staying aware, organised, and active throughout the process, you can make sure your claim moves smoothly and your investments come back under your control.
FAQ’s
Q1. What happens if I file a new claim without closing my earlier one?
Ans. The new claim will be rejected. You must either withdraw or get the previous application closed before applying again.
Q2. Can my claim be rejected if I don’t send physical documents? 
Ans. Yes. After online filing, you must send physical documents to the company’s Nodal Officer within 15 days. If this step is missed, the claim is rejected.
Q3. Do missing legal heir documents cause rejection? 
Ans. Absolutely. If a legal heir applies without a succession certificate, legal heir certificate, will, or probate (as applicable), the claim cannot be verified and gets rejected.
Q4.Can incorrect or incomplete affidavits and indemnity bonds lead to rejection?
Ans. Yes. If these documents are not properly prepared, notarised, stamped, or signed, the IEPF Authority will raise objections or reject the claim.
Q5. Why does mismatch in bank details cause rejection? 
Ans. If the bank account number, IFSC, or account holder name differs from what the company has on record, the refund cannot be processed, leading to rejection.
Q6. Can delays by the company or missing follow-up also affect approval? 
Ans. Yes. If you do not follow up with the company or fail to respond to their queries, your claim may be marked incomplete or rejected due to lack of verification.
Q7. Can my claim be rejected if I make small spelling mistakes? 
Ans. Yes. Even minor spelling errors in your name, father’s name, address, or bank details can lead to rejection because the IEPF matches every detail exactly with company records.
Q8. Why is it a problem to submit more than one claim for the same shares? 
Ans. If the same shares or dividends are claimed more than once by mistake or by different family members the IEPF automatically rejects the claim to avoid disputes.
Q9. What if my name has changed and I did not submit proof? 
Ans. If your name has changed due to marriage, spelling correction, or any other reason, but you do not submit supporting documents, the claim may be rejected.
Q10. Do non-resident Indians (NRIs) face rejection for missing documents? 
Ans. Yes. NRI applications often get rejected if attested passport copies, Foreign Address Proof, OCI/PIO card copies, or embassy-attested documents are missing.

Many IEPF-5 claims get rejected not because the investor is not eligible, but simply due to avoidable mistakes. Most people do not realise how important it is to keep all documents consistent. Small errors like spelling mistakes in names, wrong bank details, or mismatched folio numbers can easily lead to rejection.

For legal heirs, many claims are filed without proper succession papers, which creates disputes and slows down verification. Another common problem is when people do not dematerialise their shares before applying, especially if they still hold physical share certificates.

Many applicants think that filing the form online is enough, but they forget that physical documents must also be sent to the company’s Nodal Officer within the required time. In addition, key documents like the indemnity bond or affidavit are often incomplete, signed incorrectly, or not stamped properly, causing the IEPF Authority to raise objections.

Because of these small mistakes, even genuine claims get delayed or rejected, and people have to wait longer to get their own money back. This shows that getting an IEPF-5 claim approved is not just about being eligible it depends more on following the correct process, submitting proper documents, and sticking to the timelines right from the start.

Incomplete or Incorrect Information in the IEPF-5 Form

This is one of the main reasons claims get rejected. Many people leave important details blank or enter wrong information that doesn’t match the company’s records.

Typical errors include:

Misspelled or mismatched names.
Wrong folio numbers or ISINs.
Incorrect dividend years.
Typographical errors in PAN or Aadhaar numbers.
Errors in bank account or Demat account details.

How to Prevent This:

Use your latest documents when entering data.
Cross-verify with old dividend warrants, share certificates, or Demat statements.
Avoid spelling mistakes like your name in PAN, Aadhaar, and Demat account is identical.
Double-check all entries before final submission.

Missing or Improperly Attested Documents

Each IEPF-5 claim must be supported with a precise list of documents. If any required document is missing, expired, unclear, or not self-attested/notarized properly, the claim will be invalidated.

Frequently required documents:

PAN card or Aadhaar copy.
Original share certificates or proof of shareholding.
Proof of entitlement (e.g., dividend warrant or bank statement).
Cancelled cheque leaf.
Indemnity bond and affidavit in the prescribed format.

How to Prevent This:

Refer to the official IEPF checklist.
All copies must be self-attested.
If notarization is required (such as in indemnity bonds), get it done by a public notary.
Ensure clarity in scanned copies and maintain consistency in all personal details.

Physical Submission Not Done Timely

After submitting Form IEPF-5 online, you must send the required physical documents to the company’s Nodal Officer within 15 days. If this is not done on time, the claim often gets rejected.

How to Prevent This:

Print and compile the IEPF-5 form and acknowledgement immediately after e-filing.
Use a trusted courier or India Post service to dispatch the package.
Get tracking proof and ensure delivery within 15 days of filing the form.
Clearly label the envelope as “IEPF-5 Claim Submission”.

Legal Heir or Nominee Claims Without Proper Proof

When filing a claim on behalf of a deceased shareholder, legal heirs must present appropriate documentation. Claims are rejected when:

No valid legal heirship certificate is provided.
There are conflicting claims from multiple heirs.
The succession process is incomplete or legally insufficient

How to Prevent This:

Get a succession certificate from a civil court or a probate of the will, where applicable.
If there are multiple heirs, ensure joint declaration or No Objection Certificates (NOCs) are obtained.
Keep copies of the shareholder’s death certificate and your relationship proof ready.

Filing Multiple or Duplicate Claims

If the same shares or dividends are claimed more than once by mistake or because of a dispute the IEPF usually rejects the claim automatically.

How to Prevent This:

Maintain a log of SRNs and IEPF-5 filings to avoid duplication.
Do not submit a new claim unless the earlier application has been properly withdrawn or closed
If any issue arises, consult the company’s Nodal Officer for guidance before submitting again.

Filing Beyond the Permissible Timeframe

While the Companies Act, 2013 does not impose a strict time bar for claiming from the IEPF, some claims are rejected when:

The seven-year holding period itself is not met (premature filing).
Documents submitted are outdated or expired (e.g., old bank account proofs).

How to Prevent This:

Confirm eligibility: check if the shares/dividends are indeed transferred to IEPF.
Use the IEPF website’s “Search Unclaimed Amount” facility.
Submit updated address and bank proofs to avoid technical lapses.

Non-Payment or Lack of Proof of Mandatory Fees

Although IEPF claims themselves are not charged a fee by the Authority, some companies require a nominal fee for processing or issuing duplicate share certificates.

How to Prevent This:

Check with the company if any fee applies for:

Issuance of duplicate shares
Signature verification
Postal or notarial requirements

Retain all receipts and enclose proof of payment in the submission packet.

Power of Attorney Claims Without Proper Authorization

Claims filed through Power of Attorney (PoA) representatives are rejected if the documents are not executed correctly.

Issues include:

PoA is not specific to IEPF matters.
PoA not notarized or registered properly.
Identity mismatch between PoA holder and the claim documents.

How to Prevent This:

PoA should be specific, mentioning the IEPF claim filing authority.
Execute the PoA on an appropriate stamp paper.
Notarize and enclose the original or certified copy with the claim form.

Issues with the Dematerialization Process

For shares in physical form, dematerialization must be done before initiating the IEPF claim. Many claims are rejected because:

The shares were not dematerialized.
The DRF (Dematerialisation Request Form) was incorrectly filled.
Demat account details in the IEPF-5 form are wrong.

How to Prevent This:

Open a Demat account with a SEBI-registered DP.
Submit a DRF along with your original share certificates.
Wait for demat confirmation before filing IEPF-5.
Provide correct Client ID and DP ID.

Failure to Respond to Queries from Company or IEPF Authority

In certain cases, the Nodal Officer or IEPF Authority may raise follow-up queries. Non-response within the timeframe results in the claim being closed.

How to Prevent This:

Monitor your registered email regularly.
If a query is raised, respond within 15 days (or sooner if possible).
If postal communication is delayed, proactively reach out to the company or IEPF contact center.

Improper Execution of the Indemnity Bond

The indemnity bond is one of the most sensitive documents in the claim process. Common rejection causes include:

Incorrect format or language.
Missing stamp duty payment.
Bond not notarized or improperly signed.

How to Prevent This:

Use the IEPF Authority’s prescribed format for the bond.
Get it executed on the correct stamp paper value as per your state’s Stamp Act.
Sign clearly and notarize before submission.

Mismatch in Financial and Bank Details

Bank details provided in Form IEPF-5 must be precise. Claims are rejected when:

IFSC code is incorrect.
Account name doesn’t match the claimant’s name.
Account is inactive or closed.

How to Prevent This:

Provide an active account where your name is clearly printed on the cheque leaf.
Preferably use a bank statement or a recent passbook copy as supporting proof.
Ensure the bank account matches the name and PAN in the IEPF form.

Incomplete or Failed Verification by Nodal Officer

After you submit your documents to the company, the Nodal Officer verifies your claim. If they find discrepancies or missing documents, your claim is rejected at this stage.

How to Prevent This:

Maintain communication with the company’s Nodal Officer post-submission.
Follow up for confirmation of document receipt and verification timeline.
Be proactive in resolving any gaps pointed out during verification.

Tips for Successful IEPF-5 Approvals with MCA

To ensure that your IEPF-5 claim gets approved:

Read the Latest Guidelines: Visit iepf.gov.in and consult the IEPF-5 instruction kit.
Prepare a Comprehensive Checklist: Include every required document ID proofs, entitlement proofs, indemnity bond, and notarized affidavits.
Monitoring : Regularly monitor emails and updates on your claim status using the SRN.
Keep Copies of All Submissions: Maintain both digital and physical records of forms, dispatch slips, courier receipts, and communications.
Engage with Professionals: In complex legal heirship or dematerialization process, consider professional help.

Knowing the common reasons why IEPF-5 claims get rejected helps you avoid such issues. If you prepare your documents carefully and follow all requirements, your claim is more likely to be approved.

By staying aware, organised, and active throughout the process, you can make sure your claim moves smoothly and your investments come back under your control.

FAQ’s

Q1. What happens if I file a new claim without closing my earlier one?

Ans. The new claim will be rejected. You must either withdraw or get the previous application closed before applying again.

Q2. Can my claim be rejected if I don’t send physical documents?

Ans. Yes. After online filing, you must send physical documents to the company’s Nodal Officer within 15 days. If this step is missed, the claim is rejected.

Q3. Do missing legal heir documents cause rejection?

Ans. Absolutely. If a legal heir applies without a succession certificate, legal heir certificate, will, or probate (as applicable), the claim cannot be verified and gets rejected.

Q4.Can incorrect or incomplete affidavits and indemnity bonds lead to rejection?

Ans. Yes. If these documents are not properly prepared, notarised, stamped, or signed, the IEPF Authority will raise objections or reject the claim.

Q5. Why does mismatch in bank details cause rejection?

Ans. If the bank account number, IFSC, or account holder name differs from what the company has on record, the refund cannot be processed, leading to rejection.

Q6. Can delays by the company or missing follow-up also affect approval?

Ans. Yes. If you do not follow up with the company or fail to respond to their queries, your claim may be marked incomplete or rejected due to lack of verification.

Q7. Can my claim be rejected if I make small spelling mistakes?

Ans. Yes. Even minor spelling errors in your name, father’s name, address, or bank details can lead to rejection because the IEPF matches every detail exactly with company records.

Q8. Why is it a problem to submit more than one claim for the same shares?

Ans. If the same shares or dividends are claimed more than once by mistake or by different family members the IEPF automatically rejects the claim to avoid disputes.

Q9. What if my name has changed and I did not submit proof?

Ans. If your name has changed due to marriage, spelling correction, or any other reason, but you do not submit supporting documents, the claim may be rejected.

Q10. Do non-resident Indians (NRIs) face rejection for missing documents?

Ans. Yes. NRI applications often get rejected if attested passport copies, Foreign Address Proof, OCI/PIO card copies, or embassy-attested documents are missing.