registration of charge, Corporate Laws / SEBI / LLP

[Priyanka Jain]

What is the procedure of charge creation under bank finance law????????? how many days required for   registration of charge will filed ????????. pls give all detail as soon as possible. its urgent

Posts / Replies

[CS Swati Dodhi]

Is it company's charge creation?

[Priyanka Jain]

yes it is a company takes a loan from  nationalised bank..

[CS Swati Dodhi]

 

The Central Government has issued the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (Central Registry) Rules, 2011 and prescribed the Forms to be used for the purpose of filing information for registration in respect of transactions of securitisation, asset reconstruction of financial assets and security interest over property. The Forms prescribed by the Central Government for registration are as under: 

FORM I - For Creation and modification of Charge.

FORM II - For particulars of Satisfaction of Charge.

FORM III - For Securitisation or Reconstruction of Financial Assets.

FORM IV - For Satisfaction of Securitisation or Reconstruction of Financial Assets.

 

[CS Swati Dodhi]

A deed of hypothecation will be prepared and printed on stamp paper and signed by director of company and bank manager . It has to be attached with duly filled form 8 which is to be filed within 30 days to ROC.

[Priyanka Jain]

after how many days condonation of delay is applicable. what is the procedure for condonation of delay. what is the monetary panelty.

[Ashwani Rustagi]

Form 8 is required to filed within 30 days from the date of execution of loan documents. ROC has power to give extension of another 30 days. In case form 8 is not filed within 60 days, charge shall not be registered by the concerned Registrar until the delay is condoned by the Company Law Board.

You are immediately required to file Form 8 electronically and pay the fee Rs. 500/-. On the bottom of the receipt (GAR-7), you will get notification that Form 8 has been filed by the delay of ---- days. Hence you are requested to approach the Company Law Board for condonation of delay and take necessary steps.

After this you have to file petition in Form 24AAA and need to attach following documents: a. Copy of petions u/s 141 in form 1; b. Certified copy of Board Resolution for condonation of delay; c. Certified copy of the resolution of the borrowing for which charge is to be created and Copy of Form 8. Filing fee of Form 24AAA is Rs. 1,000/-.

Hard copy of form the petition is required to be filed in the office of Regional Director, CLB.