Franklin Templeton investors can e-vote to monetise assets

Can authorise trustees or Deloitte from June 9-11

Investors of Franklin Templeton Mutual Fund, whose money is stuck in the six schemes that were wound up last month, can cast their votes between June 9 and June 11 to initiate the process of monetisation of the assets of the schemes.

Through the electronic voting process, investors can either choose the trustees of the fund house or Deloitte as the entity to be entrusted with the work of monetisation of the schemes’ assets.

“The e-voting portal will remain open for voting from Tuesday, June 9, 2020 at 09:00 a.m. (IST) and will end on Thursday, June 11, 2020 at 06:00 p.m. (IST),” stated a note from the fund house. The e-vote will be followed by a virtual meet of the unit holders on June 12.

In the e-vote process, unit holders can choose option one if they want to authorise the trustees to monetise the assets with the assistance of the fund house and Kotak Mahindra Bank as an independent adviser.

If option two is chosen, it will authorise Deloitte to monetise the assets with the assistance of the fund house and Kotak Mahindra Bank will act as an independent advisor to the asset management company (AMC).

Role of trustees

Further, the trustee’s role will be restricted to distribution of proceeds to unit holders after payment of liabilities and expenses.

“The trustee believes that both Deloitte and Kotak have strong capabilities to discharge their respective roles. Unit holders will have the advantage of professional services from Deloitte and Kotak [as an agent and advisor to the AMC and providing independent advice, wherever required] in option 2. The trustee is equally supportive of both options,” stated the note.

The trustees have appointed a scrutiniser who will submit a report to the trustees within three days from the conclusion of the virtual meet and thereafter, the results would be declared. The results would then be communicated to the unit holders.