Admission begins with eligibility
Confirm that the applicant meets the producer or producer-institution requirements and the Articles. Record the relevant activity and proportionate evidence, such as production, procurement or other primary-produce records. Do not treat a share payment alone as proof of eligibility. Explain the objects, member responsibilities, activity requirements, fees and the distinction between shares and procurement payments before admission.
Approve, collect and record
Use the approval procedure in the Articles and law. Reconcile application, approval, banking receipt, allotment, member folio and certificate or applicable demat record. Check return-of-allotment requirements for the actual transaction. Maintain the statutory register of members and an index where required. An adapted worksheet helps prepare records but must not be represented as an exact prescribed MGT-1 form.
Voting and active membership
Section 378D contains the voting rules. Where membership consists solely of individuals, each member has one vote irrespective of shares or patronage, subject to the Act and Articles. Institutional and mixed membership require separate analysis. Define and apply active-member criteria consistently under the Articles. Maintain evidence of participation and send fair notices before decisions that affect rights.
Nomination, transfer and surrender
Section 378ZD requires nomination within three months of becoming a member in the manner provided by the Articles. Keep nomination details securely and record changes. Shares are not freely tradable: a voluntary transfer requires prior Board approval and is to an active member at par, subject to the Act and Articles. For death, loss of eligibility or directed surrender, check the distinct statutory procedure, hearing rights and settlement before altering the register.
Reconciliation and privacy
Quarterly, reconcile issued shares times face value to paid-up capital, allowing for valid partly-paid balances if applicable. Reconcile certificate numbers, distinctive numbers, transfers and cancellations to the folios. Keep procurement and member-loan balances in separate ledgers. Give members a statement they can understand and a correction route. Publish blank formats only; never place filled member identity or bank records on the public website.
Example: 100 members each holding 10 fully paid shares of ₹100 create ₹1,00,000 paid-up share capital. A member buying another 20 shares does not thereby receive 30 votes. Member procurement of ₹80,000 is a trading balance and must not be silently converted into capital.
Editable tools
Open a tool, complete the yellow fields and save a completed copy. For offline use, download this kit first. No entries are uploaded or automatically saved. These tools are adapted worksheets, not prescribed statutory forms.
- Membership application and scrutiny sheet · Download HTML
- Nomination and transfer review sheet · Download HTML
Related register formats
Sources and further reading
- Companies Act, 2013 — Chapter XXIA and applicable general provisions
- MCA — current forms, Rules, notifications and filing services
Read legal references with amendments and current Rules. Scheme windows and application availability are not confirmed by inclusion here. The case-law module explicitly identifies the verification limits of its reported example.