Invest Rs 1,000, get 50 paise payout after 20 years

Invest Rs 1,000, get 50 paise payout after 20 years

He waited for almost two decades for a dividend on Rs 1,000 he had invested in stocks. However, Aristotle’s quote, “Patience is bitter but it’s fruit is sweet,” did not hold true for him as the company paid him a dividend of just 50 paise.

On top of it, the cheque for the absolutely meagre sum bounced and the bank charged him Rs 75 for that.

Forty-eight-year-old  N Ramanatha, a City-based tax consultant, has invested a lot of money in stocks over the last 25 years. In one such case, about 20 years ago, he bought 100 shares of Rs 10 face value each in BIAX Company which was later sold to Hindusthan Engineering and Industries Limited. When the company shut up shop, he received a redemption proceed of equity of 50 paise through a cheque in December 2012.

Ramanatha deposited the cheque in his account at the Vijayanagar branch of a nationalised bank. The bank initially mistook the sum for Rs 50 and started the clearance procedure by mentioning that amount.

Later, however, when the bank realised that the actual amount was 50 paise, it debited Rs 75 from Ramanatha’s account as cheque bouncing charges. But Ramanatha insisted that the cheque bounced because of errors in transactions for which he was not responsible.

“The bank was hesitant to accept the cheque when I re-presented it but I fought with the bank manager to get my 50 paise. After investing for 20 years and waiting for two more years, I got the dividend in the end of December 2013. This is not the end,” Ramanatha recalled.

“For another such investment in Reliance Group of Companies just a few days ago, I have received a cheque for Re 1.07. I will deposit this too in the bank.” 

Ramanatha said:“I have got something. There are many investors like me who have got nothing at all. Many companies seek investment, make quick bucks and flee.”

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