Registration of Charges
Registration of Charges Introduction According to Section 2(16) of the Companies Act, a Charge is defined as an interest or lien established on the assets or property of a Company or any of its undertakings as security, and this definition also encompasses a mortgage. Additionally, the Companies Act mandates that all companies must register any Charges created by the Company and keep a record of them. What is Register of Charges ? To maintain a register of charges, as discussed earlier in Form No. CHG.7, every company must keep a record at their registered office. It is crucial to note the following additional points: The register must contain all details, including charges registered with the Registrar on any property, assets, or undertaking of the company, and particulars of the acquired property on which the charge is created. It must also record any modifications or satisfactions of charges. The entries in the register should be made immediately after creating, modifying, or ...