Section 90 of Companies Act 2013

Section 90 of Companies Act. Register of significant beneficial owners in a company —(1) A company may close the register of members or the register of debenture-holders or the register of other security holders for any period or periods not exceeding in the aggregate forty-five days in each year, but not exceeding thirty days at any one time, subject to giving of previous notice of at least seven days or such lesser period as may be specified by Securities and Exchange Board for listed companies or the companies which intend to get their securities listed, in such manner as may be prescribed. (2) If the register of members or of debenture-holders or of other security holders is closed without giving the notice as provided in sub-section (1), or after giving shorter notice than that so provided, or for a continuous or an aggregate period in excess of the limits specified in that sub-section, the company and every officer of the company who is in default shall be liable to a penalty of five thousand rupees for every day subject to a maximum of one lakh rupees during which the register is kept closed Scope of Section 90 of Companies Act 2013 The main purpose of this section is to maintain the register of beneficial owner. That and beneficial owner can only be recognised if his name has been entered in the register of members maintained by the company in which he holds the beneficial interest of the shares even if the shares owned by other person but for that purpose there shall be a declaration which is to be made to the company for declaring the beneficial owner i.e. the person who will enjoys the rights of a beneficial owner. That such declaration to be made has a procedure to be followed by the person for making such declaration, And the company shall maintain the register and report it to the reporting authority or agent.