Charges - Registration of ‑ Whether Registrar can register a charge which is pledged on movable property - Companies Law - No. 8/6(125)/60‑PR,

Circular : No. 8/6(125)/60 ‑ PR, dated 7 ‑ 7 ‑ 1960. Subject:- Charges - Registration of ‑ Whether Registrar can register a charge which is pledged on movable property Query : The question has been raised as to whether the Registrar should register a charge which is a pledge on the movable property of a company, since such registration is not required to be done under the provisions of the Companies Act and if he should so register, whether the company is under a legal obligation to register subsequently the particulars, if any, relating to its modification and also send to the company later on a copy of the memorandum of satisfaction in respect of the same. Answer : The registration by the Registrar of a charge being a pledge on the movable property of a company, though not mandatory, is permissible at the instance of the company or of any interested person, provided the latter files the necessary particulars with the prescribed filing fee. The Registrar should, however, point out to the party concerned that such registration is not statutorily compulsory but would be made by him without prejudice , if the party insists on the Registrar registering the charge. The Registrar should also simultaneously advise the party seeking registration of the charge that in that case it would be in the company s own interest if particulars of any subsequent modification of the charge and of its satisfaction are duly intimated to the Registrar.