Seán Sherlock (Cork East, Labour) | Oireachtas source

The purpose of this amendment is to remove the discretion from the private limited company in relation to its duty to require a member, or transferee of shares, to furnish the company with information as to the beneficial ownership of any shares. This subsection (7), like Regulation 7 of Part I of Table A of the Companies Act 1963, provides that a company is not bound by or compelled to recognise the beneficial ownership of its shares even if it has notice of it.

As the Bill stands, subsection 7 goes on to provide that unless its constitution provides otherwise, subsection 6 does not preclude a company from requesting information as to the beneficial ownership of shares when reasonably required.