Jayanta Bandyopadhyay 04 October 2024

Section 90.register of significant beneficial owners

A family owned unlisted public limited company has all its family members exclusively as its share holders and some out of them are directors. Now how to handle SBO issues. (Sec 89-90) .

Additionally, in each decision-there will be a conflict of interest, as their 100% owned LLP sources materials from them and export. The same set of shareholders and only 2 out of 3 directors of unlisted public limited company , are directors of this LLP. A complex cobweb.

Seen certain communities are excessively exposed to this type of business format.

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1 Replies

H.M.Patnaik (Proprietor) 14 October 2024

Since the issue in hand is that of a closely held public limited company comprising of family members and the exporting outfit is a subsidiary LLP controlled by a management comprising of few members of same family, both entities are liable to disclose the particulars of persons holding Significant Business ownership..share holding.

However, in my opinion the management's decisions in both entities will safeguard overall business interest of the very same family and no other third party is affected thereof resulting in no conflict of interest.