Knowledge Base

The Law firm deals with different types of legislation accompanying illustrative documents. Sidekick provides accurate legal guidance.

Business Formation, Regulation and Corporate Matters

What happens to unclaimed dividends?

Currently, unclaimed dividends are deposited with the Federal Government if they are unclaimed for a period of three years from the date of declaration. The Presidential Ordinance briefly reversed this and allowed companies to use only the profits generated from unclaimed dividends for specific purposes (CSR) and on certain conditions (recording all unclaimed dividends and details of absentee claimants), while the dividend amounts would be permanently kept for bonafide claimants.