Franklin Templeton Mutual Fund on Wednesday said that six of its schemes have received Rs 15,272 crore in the form of maturity, pre-payments and coupon payments since its closure in April. These plans were discontinued in April. The Franklin Templeton Mutual Fund closed six debt mutual fund schemes on April 23, 2020, amid withdrawal pressure.
These six schemes were discontinued- Among the six schemes that Franklin Templeton Mutual Fund closed, Franklin India Low Duration Fund, Franklin India Dynamic Accrual Fund, Franklin India Credit Risk Fund (Franklin India Credit) Risk Fund, Franklin India Short Term Income Plan, Franklin India Ultra Short Bond Fund and Franklin India Income Opportunities Fund went. The total assets under management of these schemes were Rs 25,000 crore.
The company said that these six schemes have received a total of Rs 15,272 crore as maturity, pre-payments and coupon payments till 15 March 2021.
Supreme court-ordered to return the money
Last month, the Supreme Court ordered the disbursement of Rs 9,122 crore to the unitholders of Franklin Templeton’s 6 mutual fund schemes within three weeks. In its previous order, the Supreme Court gave the responsibility of monitoring fund transfers to the unitholders to SBI Mutual Funds. Funds will be transferred to the unitholders in proportion to the units invested.
The Supreme Court, in its order, prohibited the closure of ‘debt funds’ without the prior approval of the investors. On December 3 last year, the Supreme Court had asked Franklin Templeton Mutual Fund to take steps within a week to call a meeting of the unitholders to get their approval regarding the closure of 6 mutual fund schemes. The company said on December 7, 2020, that it had sought approval from the unitholders to discontinue the six fixed-income schemes.