diff --git a/zerver/actions/create_user.py b/zerver/actions/create_user.py
index a7cfde23e8..5f8b4bf4f5 100644
--- a/zerver/actions/create_user.py
+++ b/zerver/actions/create_user.py
@@ -29,6 +29,8 @@ from zerver.lib.users import (
     can_access_delivery_email,
     format_user_row,
     get_api_key,
+    get_data_for_inaccessible_user,
+    user_access_restricted_in_realm,
     user_profile_to_user_row,
 )
 from zerver.models import (
@@ -320,13 +322,32 @@ def notify_created_user(user_profile: UserProfile) -> None:
         "custom_profile_field_data": {},
     }
 
-    active_users = user_profile.realm.get_active_users()
+    user_ids_without_access_to_created_user: List[int] = []
+    users_with_access_to_created_users: List[UserProfile] = []
+    active_realm_users = list(user_profile.realm.get_active_users())
+
+    # This call to user_access_restricted_in_realm results in
+    # one extra query in the user creation codepath to check
+    # "realm.can_access_all_users_group.name" because we do
+    # not prefetch realm and its related fields when fetching
+    # PreregistrationUser object.
+    if user_access_restricted_in_realm(user_profile):
+        for user in active_realm_users:
+            if user.is_guest:
+                # This logic assumes that can_access_all_users_group
+                # setting can only be set to EVERYONE or MEMBERS.
+                user_ids_without_access_to_created_user.append(user.id)
+            else:
+                users_with_access_to_created_users.append(user)
+    else:
+        users_with_access_to_created_users = active_realm_users
+
     user_ids_with_real_email_access = []
     user_ids_without_real_email_access = []
 
     person_for_real_email_access_users = None
     person_for_without_real_email_access_users = None
-    for recipient_user in active_users:
+    for recipient_user in users_with_access_to_created_users:
         if can_access_delivery_email(
             recipient_user, user_profile.id, user_row["email_address_visibility"]
         ):
@@ -359,6 +380,14 @@ def notify_created_user(user_profile: UserProfile) -> None:
         event = dict(type="realm_user", op="add", person=person_for_without_real_email_access_users)
         send_event_on_commit(user_profile.realm, event, user_ids_without_real_email_access)
 
+    if user_ids_without_access_to_created_user:
+        event = dict(
+            type="realm_user",
+            op="add",
+            person=get_data_for_inaccessible_user(user_profile.realm, user_profile.id),
+        )
+        send_event_on_commit(user_profile.realm, event, user_ids_without_access_to_created_user)
+
 
 def created_bot_event(user_profile: UserProfile) -> Dict[str, Any]:
     def stream_name(stream: Optional[Stream]) -> Optional[str]:
diff --git a/zerver/tests/test_events.py b/zerver/tests/test_events.py
index 202419b8ab..b1ce19f427 100644
--- a/zerver/tests/test_events.py
+++ b/zerver/tests/test_events.py
@@ -1491,6 +1491,18 @@ class NormalActionsTest(BaseAction):
         check_user_group_add_members("events[2]", events[2])
         check_user_group_add_members("events[3]", events[3])
 
+    def test_register_events_for_restricted_users(self) -> None:
+        self.set_up_db_for_testing_user_access()
+        self.user_profile = self.example_user("polonius")
+
+        events = self.verify_action(lambda: self.register("test1@zulip.com", "test1"), num_events=3)
+
+        check_realm_user_add("events[0]", events[0])
+        self.assertEqual(events[0]["person"]["full_name"], "Unknown user")
+
+        check_user_group_add_members("events[1]", events[1])
+        check_user_group_add_members("events[2]", events[2])
+
     def test_alert_words_events(self) -> None:
         events = self.verify_action(lambda: do_add_alert_words(self.user_profile, ["alert_word"]))
         check_alert_words("events[0]", events[0])
diff --git a/zerver/tests/test_signup.py b/zerver/tests/test_signup.py
index 26ea864a36..5652d757d4 100644
--- a/zerver/tests/test_signup.py
+++ b/zerver/tests/test_signup.py
@@ -935,7 +935,7 @@ class LoginTest(ZulipTestCase):
         # seem to be any O(N) behavior.  Some of the cache hits are related
         # to sending messages, such as getting the welcome bot, looking up
         # the alert words for a realm, etc.
-        with self.assert_database_query_count(103), self.assert_memcached_count(18):
+        with self.assert_database_query_count(104), self.assert_memcached_count(18):
             with self.captureOnCommitCallbacks(execute=True):
                 self.register(self.nonreg_email("test"), "test")
 
diff --git a/zerver/tests/test_users.py b/zerver/tests/test_users.py
index 60fd9ccbdd..84330c75ac 100644
--- a/zerver/tests/test_users.py
+++ b/zerver/tests/test_users.py
@@ -826,7 +826,7 @@ class QueryCountTest(ZulipTestCase):
 
         prereg_user = PreregistrationUser.objects.get(email="fred@zulip.com")
 
-        with self.assert_database_query_count(93):
+        with self.assert_database_query_count(94):
             with self.assert_memcached_count(23):
                 with self.capture_send_event_calls(expected_num_events=11) as events:
                     fred = do_create_user(