In This Article, We Will Cover Section 89 Of The Companies Act, 2013; Where We Understood The Declaration To Be Given By The Registered Owner And The Beneficial Owner.
Section 89: Declaration in respect of Beneficial Interest in any share
1. FORM MGT 4 – Declaration by registered Owner to the company within 30 days from date of entry in the register of members as a registered member or 30 days of any change in beneficial interest.
2. FORM MGT 5- Declaration by Beneficial Owner to the company within 30 days of acquiring beneficial interest or 30 days of any change in beneficial interest.
3.E-form MGT 6- it is to be filed by a company after receiving MGT 4 and MGT 5 before ROC. ( For specified IFSC Public and specified IFSC Private can do so within 60 days)
4. Make necessary entries in MGT 1 (Register of Member)
5. Penalty –
|Company||Rs. 1000 for each day during which offense continues up to the max- Rs. 5 Lakh|
|Officer in default||Rs. 1000 for each day during which offense continues up to the max- Rs. 2 Lakh|
*Proposed amendment as per companies (amendment) Act,2020
The CG may by notification exempt any class or classes of persons from complying with any of the requirements of section 89 except subsection (10) if it considers such exemption will be in the public interest.