Order date: 04th May,2026
The Supreme Court held that formal entry in a Company's Register of Members is not an absolute prerequisite for a person to be considered a "Member of the Company" when seeking relief against Oppression and Mismanagement.
The Supreme Court of India, in its judgment addressed a critical question regarding the definition of a "Member" of a Company under the Companies Act, 1956. it clarified that in specific equitable contexts such as petitions for “oppression and mismanagement”—the status of an investor as a "Member" can be recognized even in the absence of a formal entry in the Register of Members.
The judgment examined the interplay between two distinct provisions of the Companies Act, 1956: