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2017 (3) TMI 1665 - Tri - Companies LawRectification of the Register of Members of Respondent no.1 Company - recording the name of the petitioner in respect of her 903 equity shares - violation on the part of agents - Held that: - petitioner’s complaint of being cheated is not an isolated case and appears to be the handiwork of insiders of Respondent no. 1 and/or their agents Respondent no.2. The petitioner should not be made to suffer for their acts - The petitioner has further been able to satisfy this Bench that as per the guidelines of SEBI (Registrar to an issue and Share Transfer Agents) Regulations 1993, there was no diligence exercised by Respondent no.2 at the time of recording the change of address and issuance of duplicate shares. The documents purportedly filed for this purpose appear forged on the very face of it. The SEBI guidelines provide that a Company is liable for all acts of its Agents and cannot shirk the responsibility towards their shareholders. It mandates that under such circumstances the Respondent Company has to make good the loss by purchasing shares from the open market and transferring the same to the aggrieved shareholder. This Bench is of the opinion that the petitioner is entitled to rectification of the Register of Shareholders maintained by the Respondent no.1 Company in Folio no. 031308 registering her as the rightful owner of 903 shares. The original of these certificates, in the physical form, are still in possession of the petitioner. The petitioner may take adequate steps to get the same demated after due confirmation of the rectification of the Register having been carried out - The petitioner would also be entitled to all dividends declared on the aforesaid shares which have not been passed on to her. She would also be entitled to any bonus shares or other benefits that may have accrued on these shares. Petition allowed.
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