Section 6A: Requirements as to capital structure and voting rights and maintenance of registers of beneficial owners of shares

Q: What does Section 6A of The Insurance Act, 1938 (TIA) deal with?

Section 6A TIA pertains to "Requirements as to capital structure and voting rights and maintenance of registers of beneficial owners of shares". It is part of the The Insurance Act, 1938, a legislation enacted by the Parliament of India. Section 6A of The Insurance Act, 1938 (TIA) governs requirements as to capital structure and voting rights and maintenance of registers of beneficial owners of shares. As verified on 19 May 2026.

Q: Is Section 6A TIA still in force?

Yes, Section 6A of the The Insurance Act, 1938 is currently in force across the Republic of India.

Q: What is धारा 6A TIA?

धारा 6A TIA is the Devanagari Hindi reference for Section 6A of the The Insurance Act, 1938. Section 6A of The Insurance Act, 1938 (TIA) governs requirements as to capital structure and voting rights and maintenance of registers of beneficial owners of shares. As verified on 19 May 2026.

Q: What is Dhara 6A TIA?

Dhara 6A TIA is the Roman Hindi reference for Section 6A of the The Insurance Act, 1938. "Dhara" means "Section" in Hindi. Section 6A of The Insurance Act, 1938 (TIA) governs requirements as to capital structure and voting rights and maintenance of registers of beneficial owners of shares. As verified on 19 May 2026.

Q: How to cite Section 6A of The Insurance Act, 1938?

Cite as: "Section 6A, The Insurance Act, 1938 (TIA)" in legal briefs. For academic writing, use the BlueBook format: The Insurance Act, 1938, § 6A (India).

Law on Tips Editorial Board

(1)

No public company limited by shares having its registered office in India, shall carry on life insurance business or general insurance business or health insurance business or re-insurance business, unless it satisfies the following conditions, namely:—

(i) that the capital of the company shall consist of equity shares each having a single face value and such other form of capital, as may be specified by the regulations;

(ii) that the voting rights of shareholders are restricted to equity shares;

(iii) that, except during any period not exceeding one year allowed by the company for payment of calls on shares, the paid-up amount is the same for all shares, whether existing or new:

(2)

Notwithstanding anything to the contrary contained in any law for the time being in force or in thememorandum or articles of association but subject to the other provisions contained in this section the voting right of every shareholder of any public company as aforesaid shall in all cases be strictly proportionate to the paid-up amount of the equity shares held by him.

(3)

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(4)

A public company as aforesaid which carries on life insurance business, general and health insurance business and re-insurance business—

(a) shall, in addition to the register of members maintained under the Companies Act, 2013 (18 of 2013), maintain a register of shares in which the name, occupation and address of the beneficial owner of each share shall be entered including any change of beneficial owner declared to it within fourteen days from the receipt of such declaration;

(b) shall not register any transfer of its shares—

(5)

Every person who has any interest in any share of a company referred to in sub-section (4) which stands in the name of another person in the register of members of the company, shall, within thirty days from the commencement of the Insurance (Amendment) Act, 1950, or from the date on which he acquires such interest, whichever is later, make a declaration in the prescribed form (which shall be countersigned by the person in whose name the shares is registered) to the company declaring his interest in such share, and notwithstanding anything contained in any other law or in any contract to the contrary, a person who fails to make a declaration as aforesaid in respect of any share shall be deemed to have no right or title whatsoever in that share:

Provided that nothing in this sub-section shall affect the right of a person who has an interest in any such share to establish in a Court his right thereto, if the person, in whose name the share is registered, refuses to countersign the declaration as required by this sub-section:

Provided further that where any share, belonging to an individual who has made any such declaration as is referred to in this sub-section is held by a company in its name in pursuance of any trust or for the purpose of safe custody or collection or realisation of dividend, such individual shall, notwithstanding anything contained in the Indian Companies Act, 1913 (7 of 1913)or in thememorandum or articles of association of the company which has issued the share, be deemed to be the holder of the said share for the purpose of exercising any voting rights under this section to the exclusion of any other person.

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(11)

The provisions of this section, , shall, on and from, the commencement of the Insurance (Amendment) Act, 1968, also apply to insurers carrying on general insurance business subject to the following modifications, namely:—

(i) that references in sub-sections (1), (3), (5) and (6) to the Insurance (Amendment) Act, 1950, shall be construed as references to the Insurance (Amendment) Act, 1968;

(i) the total paid-up holding in such shares held by such person in the name of others; and

(ii) if any shares of the company are held—

(a) by a public limited company, of which such person is a member holding more than ten per cent of the paid-up capital, or

(b) by a private limited company, of which such person is a member, or

(c) by a company, of which such person is a managing director, manager, or in which he has a controlling interest, or

(d) by a firm in which such person is a partner, or

(e) by such person jointly with others, such part of the total paid-up holding of the company or firm or of the total joint holding in those shares, as is proportionate to the contribution made by such person to the paid-up capital of the company, the paid-up capital of the firm or the joint holding, as the case may be.