Membership status of GDR holders: non resident GDR holders are not company members unless converted into underlying shares. A non resident holder of Global Depository Receipts is not a member of the issuing company because they are neither subscriber nor registered holder; the Overseas Depository Bank is not the statutory depository and cannot be deemed a member. Membership arises only upon conversion or redemption of GDRs into underlying equity shares and completion of the Scheme's and Companies Act procedures; until conversion the Overseas Depository Bank's name appears in the Register as legal allottee but is not a nominee of the GDR holder for membership purposes.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Membership status of GDR holders: non resident GDR holders are not company members unless converted into underlying shares.
A non resident holder of Global Depository Receipts is not a member of the issuing company because they are neither subscriber nor registered holder; the Overseas Depository Bank is not the statutory depository and cannot be deemed a member. Membership arises only upon conversion or redemption of GDRs into underlying equity shares and completion of the Scheme's and Companies Act procedures; until conversion the Overseas Depository Bank's name appears in the Register as legal allottee but is not a nominee of the GDR holder for membership purposes.
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