Register of Members, Place of Keeping and Inspection of Register of Members in a company

The register of members is a document that contains the names and addresses of the members of a company. It also contains information about the number of shares held by each member and the date on which they were allotted the shares. The register of members is an important document because it is used to determine who are the members of the company and who has the right to vote at the company’s general meeting.

Place of keeping of the register of members

The register of members must be kept at the registered office of the company. However, the company can also keep the register of members at any other place in India in which more than one-tenth of the total number of members reside, if approved by a special resolution passed at a general meeting of the company.

Inspection of the register of members

The register of members must be open for inspection by any member, debenture holder, other security holder or beneficial owner, during business hours without payment of any fees and by any other person on payment of such fees as may be specified in the articles of association of the company but not exceeding fifty rupees for each inspection.

Multiple choice questions (MCQs) on the register of members

  1. Which of the following persons can inspect the register of members of a company?
    • A member of the company
    • A debenture holder of the company
    • A person who is considering investing in the company
    • A competitor of the company
    • A government official
    • The answer is (a). Only a member of the company, a debenture holder of the company, or a beneficial owner of the company can inspect the register of members.
  2. A company’s articles of association state that the register of members can be inspected by any person on payment of a fee of Rs.100 per inspection. Can a person inspect the register of members without paying the fee?
    • Yes
    • No
    • It depends on the decision of the board of directors
    • It depends on the interpretation of the articles of association
    • The answer is (b). No, a person cannot inspect the register of members without paying the fee, unless the articles of association specifically provide otherwise.
  3. A company is being wound up. Can the liquidator inspect the register of members?
    • Yes
    • No
    • It depends on the decision of the court
    • It depends on the interpretation of the articles of association
    • The answer is (a). Yes, the liquidator can inspect the register of members, even if the company’s articles of association do not specifically provide for it.

Answers

  1. (a)
  2. (b)
  3. (a)