Statutory Books and Registers under Companies Act, 1956 - REGISTER OF CHARGES

Section and Name           Section 143(1) REGISTER OF CHARGES

Requirements and Format          "The register should contain the following information in respect of each charge: serial number of the charge; date of creation of charge or the date of the resolution creating a series of debentures with description of instrument creating charge; date of completion of acquisition of properties subject to charge; particulars of the property charged and terms and conditions thereof; period and amount of charge; names and addresses of persons entitled to the charge; date of modification of charge with description of instrument modifying the charge; particulars of modification; date of satisfaction of charge or redemption of debentures; date of filing of the creation of charge or modification or satisfaction of the charge with the Registrar of Companies and the respective date of registration of charge or modification or satisfaction as the case may be; if any delay is condoned by the competent authority, the fact and date of such condonation."

Entries should be made in the register forthwith after the creation or modification or satisfaction of a charge. Entries in the register should be made in chronological order of creation of the charge and modification thereof.

Where to Kept  The register should be maintained at the registered office of the company.

Inspection          "The register alongwith copies of instruments, if any, creating or modifying charges should be open for inspection during the business hours of the company, subject to such reasonable restrictions as the company may impose by its articles or in general meeting so that not less than 2 hours in each working day of the company are allowed for inspection.

Members or creditors can inspect the register and the instruments, if any, creating or modifying charges without payment of any fee and any other person can inspect the register on payment of the requisite fee."

Authentication Entries in the register should be authenticated by the secretary of the company or by any other person authorized by the Board for the purpose, by appending his signature to each entry.

Preservation      Instruments creating a charge should be preserved for a period of 8 years from the date of satisfaction of charge and should be kept in the custody of the secretary of the company or any other person authorised by the Board for the purpose. The register should be preserved permanently in the custody of the secretary of the company or any other person authorized by the Board for the purpose.