Many investors find that the client masterlist for their demat account does not contain the correct bank details, the IFSC code is missing in some cases.
This creates problems when the company is using NEFT to make dividend or interest payment for debentures.
Earlier companies would send a cheque or draft payment to the investor for the amount due.
In November, due to a new SEBI rule, companies are not allowed to send drafts or cheques for the dividend or interest amount.
In case of NCDs, in some cases, the principal invested is also not being refunded.
Investors have to waste a lot of time, visiting various offices to get the client master list corrected.