Sunday, 15 Sep 2019

How To Publish Loss Of Equity Shares ad in Newspapers ?

What will you do if you lose an important document like your Equity share / stock certificate? There are chances of the document being misused—leading to a financial loss.

This article elaborates on the steps you should take to get duplicate share certificates from the company / registrars to avoid any financial loss. we will be discussing steps as to how to publish a Public Notice for loss of equity shares ad in Newspapers

Regardless of whether a shareholder loses his or her stock certificate, that person still owns the shares. However, in order to replace the physical certificate, the shareholder must contact the company’s stock transfer agent.

You also need to quote the folio number and details of share certificates to the company for their reference. When a company receives an intimation that you have lost the shares, the folio number or the details provided to the company are frozen—in lieu of the lost one. This is done by the company to prevent any fraud or transfer of shares.

1) Please inform the company about loss of share certificates quoting your folio number and details of share certificates if available. They shall immediately mark a caution on your folio to prevent any further transfer of shares covered by the lost share certificates.

Simultaneously, you will have to lodge a complaint with the police regarding loss of share certificates and also comply with the following formalities:
2. Furnish an acknowledged copy of the police complaint.
3. Furnish an indemnity for issue of duplicate share certificate.
4. Publish a notice in a newspaper for loss of share certificates and submit the paper cutting of the notice to the company. The notice should contain the details of registered shareholder(s), share certificate numbers and distinctive numbers of shares lost.

The company sends you the procedure on how to issue duplicate share certificate which includes prepare an affidavit, surety and indemnity bond agreement. The company— in a letter—mentions you how carry out the procedure for issue of duplicate certificates

Upon receipt of these completed documents, you will have to file an FIR (first information report) with the police listing details of lost share certificates such as the folio no., company name, share certificate number and distinctive number of shares, etc.

You nowneed to publish a general notice in one or two newspapers declaring the loss of share certificates. The notice should contain the details of shareholder, share certificate numbers and distinctive numbers of shares lost. intimating the public of the loss of the share certificate and of the company’s proposal to consider issue of a duplicate share certificate, in lieu of the one that is lost.

The cost of the publication of the general notice ad is normally borne by the shareholder. You should send the documents to the company / registrars for issue of duplicate share certificates accompanied by, affidavit, indemnity & surety bond and original copy of FIR of police complaint reporting loss of share certificates and copy of advertisement released in the newspapers or government gazette publication regarding loss of share certificates.

After verification of the documents submitted, the company / registrars will process the requests for duplicate issue of share certificate. This process normally takes four to six weeks for the shareholders to receive duplicates from the date of receipt of all the valid documents by the company / registrars. Keep in mind that for every issue of duplicate share certificate, prior resolution of the company board or a committee is essential.

 

Intimation shall also be given to all stock exchanges where the shares of the company are listed regarding issue of duplicate share certificate and cancellation of old share certificate.

 

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