Failure To Transfer Shares Amounts As Deficiency In Service: NCDRC

The National Consumer Disputes Redressal Commission (NCDRC) has ruled that the failure to transfer shares by a company or its agent constitutes a deficiency in service. The case involved a shareholder who did not receive the shares they had purchased, leading to a complaint. The NCDRC held that the company’s failure to execute the share transfer within the stipulated time frame was a breach of service obligations. This decision reinforces the responsibility of companies to adhere to timelines and proper procedures in share transfers, ensuring that shareholders receive what they are entitled to without undue delay.