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Members Vs. Share holders-Urgent

Apurva (14 Points)

10 May 2007

In Which situations a member is not a shareholder?...

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Ajay (CA Job) (512 Points)
Replied 10 May 2007

there exist many situations when a member is not a shareholders like:
1. Signatories to memorandum are members even if they dont hold the shares.
2. When a person dies, his shares get transmitted to his legel heirs. till they register it in their name, the person whose name appears in the register of members(i.e. who expired) remain member whereas he is no longer a shareholder. similarly it applies in case of transmission in other cases as insolvency etc.
3.Transfer- a person who ve applied for tranfer of shares but till it gets registered in the name of the transferee, his name remains in the register of members and for the same reason he is member but not any more a shareholders.

Like this there are many situations.
u can refer any good book on corporate laws. you wil get it in the chapter beginin of 'membership in a co'.

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(Guest)

Please do let me know how we can enter the new share certificate in the Share holder regsiter issued to member in lieu of old certificate & the single certifcaite was converted to multiple certificate by dividing the number of share.