Oppression and mismanagement of the minority shareholders in India

The Corporate World, all democratic decisions and management of a corporation or company
are made by the majority rule which is deemed to be fair, just and justified. The majority rule of
decision making, quite often than not overlooks the views of minority shareholders. A minority
shareholder is a person in a company who does not benefit from much control in the
administration and supervision of the company and their welfare are unnoticed. In spite of the
provisions placed under the Companies Act, 1956 on the protection of the interest of minority
shareholders, the minority shareholders found themselves incapable of exercising their rights due
to lack of the resource or of time. Therefore, this resulted in the majority dominance and restraint
of minority shareholders' rights in the decision making and management of the company and to
overcome this difficulty faced by the minority, the Companies Act, 2013 came up with the way
out to deal with the troubles which are by and large faced by the minority shareholders. On the
other hand, the definitions of minority shareholders are not mentioned under the Companies Act,
2013 but under Section 235 (Power to acquire shares of the dissenting shareholders) and under
Section 244 (Right to apply for the oppression and mismanagement) of Companies Act, 2013 the
minority shareholders are given 10% of shares or minimum hundred shareholders, whatsoever, is
less with share capital and 1/3 of the total number of its members in case of companies without
the share capital.

Research question

1) The protection offered to the minority shareholders is adequate or not?

2) What constitutes mismanagement and oppression minority shareholders in India?
3) Whether it is improper of laws relating to minority shareholder lead the oppression of
minority shareholders

Tentative chapters

1) Introduction
2) Majority rule in India
3) Rights of minority shareholders
4) Oppression and Mismanagement of minority shareholder

5) National company law tribunal

6) Leading case laws on minority shareholders' rights

7) Conclusion

Research objective- how can be minor rights can be protected and the Oppression can be also
protected. What are the keys steps taken by the other country to protect minorities and to
control Oppression against minor share holders.

1) Vijay Sathya.K
2) Sethu Baskaran.B