Intimation regarding change in membership of shareholding company under sub‑section (7) - Companies Law - Letter : No. 8/16(1)/61‑PR,

Letter : No. 8/16(1)/61 ‑ PR, dated 9 ‑ 5 ‑ 1961. Subject:- Deemed Public Company ‑ Intimation regarding change in membership of shareholding company under sub ‑ section (7) Query : Section 43A(7) requires every shareholding company to intimate the change in the number of its individual shareholders or any body corporate. It invariably happens that some shareholders are only nominees for some real holder. Hence, if a change in the number of shareholders of body corporate alone is intimated, it will not enable a private company to strictly comply with the provisions of section 43A . Under such circumstances, is it the duty of the private company to call for additional particulars from the shareholding company? Answer : Section 153 prohibits every company from entering on its register of members, notice of any trust express, implied or constructive. A private company need not, therefore, call for any additional particulars from its shareholding company regarding the actual owner of its shares.