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September 2026

Dr. Bais Surgical And Medical Institute Pvt. Ltd. v. Dhananjay Pande : Formal entry in a company’s register is not an absolute prerequisite for a person to seek oppression relief.

By Pramod Prabhudesai, Chartered Accountant | Kaushik M. Jhaveri, Company Secretary
Reading Time 2 mins
12. Dr. Bais Surgical And Medical Institute Pvt. Ltd. & Ors. V/s Dhananjay Pande In The Supreme Court of India Civil Appellate Jurisdiction Civil Appeal No. 8973 of 2010

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:

  • Section 2(27): Provides a broad, inclusive definition of "member".
  • Section 41: Outlines the formal procedural requirements for becoming a member, such as agreeing in writing and having one's name entered in the register of members.

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