Can preference shareholder be a memeber of company?

@ Raksh*t, there are two types of members 1.Equity and the other one is 2.Preference share holder

Section 41 deals with definition of member which provide as under:—

(i) The subscribers of the Memorandum of a company shall be deemed to have agreed to become members of the company, and on its registration, shall be entered as members in its register of members.

(ii) Every other person who agrees in writing to become a member of a company and whose name is entered in its register of members, shall be a member of the company.

(iii) Every person holding equity share capital of a company and whose name is entered as beneficial owner in the records of the depository shall be deemed to be a member of the concerned company.

Section 41 deals with definition of member which provide as under:—

(i) The subscribers of the Memorandum of a company shall be deemed to have agreed to become members of the company, and on its registration, shall be entered as members in its register of members.

(ii) Every other person who agrees in writing to become a member of a company and whose name is entered in its register of members, shall be a member of the company.

(iii) Every person holding equity share capital of a company and whose name is entered as beneficial owner in the records of the depository shall be deemed to be a member of the concerned company.

Section 41 deals with definition of member which provide as under:—

(i) The subscribers of the Memorandum of a company shall be deemed to have agreed to become members of the company, and on its registration, shall be entered as members in its register of members.

(ii) Every other person who agrees in writing to become a member of a company and whose name is entered in its register of members, shall be a member of the company.

(iii) Every person holding equity share capital of a company and whose name is entered as beneficial owner in the records of the depository shall be deemed to be a member of the concerned company.

Section 41 deals with definition of member which provide as under:—

(i) The subscribers of the Memorandum of a company shall be deemed to have agreed to become members of the company, and on its registration, shall be entered as members in its register of members.

(ii) Every other person who agrees in writing to become a member of a company and whose name is entered in its register of members, shall be a member of the company.

(iii) Every person holding equity share capital of a company and whose name is entered as beneficial owner in the records of the depository shall be deemed to be a member of the concerned company.

Yes, preference Shareholders are the members of the Company and hence the entry thereto should be made in the Register of Members.

Yes, preference Shareholders are the members of the Company and hence the entry thereto should be made in the Register of Members.

Point 1 and point 2 of sec 41 doesn't include prefernce shareholder specifically.

Point 3 has only equity shareholder, and benificial holder in depository.

Then how can it be said that preference shareholder is a member of a company?
 

Charu is right.

Preference share holders are also the members of the company and needs to be entered in the Register of Members.

They are also shareholders of the company and they receive dividend. The only difference is with respect to their preferential rights. In the Schedule V Format (annual return) we have to give total number of members. Since preference shareholders are also members, their number also has to be included therein.