• Investor Education and Protection Fund (IEPF) has been set up under the Companies Act, 2013. Investor Education and Protection Fund Authority created under the act aims to administer the Investor Education and Protection Fund with the objective of promoting Investor’s Education, Awareness and Protection. The Authority takes various initiatives to fulfil its objectives through Investor Awareness Programs and various other mediums like Print, Electronic, Social Media, and Community Radio etc. Hence statement 1 is correct.
• The IEPF consists of not only the amounts such as dividends, applications money, matured deposits, etc. which have remained unpaid or unclaimed for a period of 7 years but also amounts given by Central Government by way of grants, donations by Central Government, State Governments or companies etc. Hence statement 2 is not correct.
• According to the Act, the fund can be utilized for refund in respect of unclaimed dividends, matured deposits, matured debentures, the application money due for refund and interest thereon; promotion of investors education, awareness and protection; distribution of any disgorged amount among eligible and identifiable applicants for shares or debentures, shareholders, debenture-holders or depositors who have suffered losses due to wrong actions by any person, in accordance with the orders made by the Court which had ordered disgorgement; reimbursement of legal expenses incurred in pursuing class action suits etc. • Secretary of Ministry of Corporate Affairs is the ex-officio chairman of the Investor Education and Protection Fund Authority.
Hence the correct option is A.