Charge on Company

A charge is a right created by any person including a company on its assets and properties, present and future, in favour of a financial institution or a bank which has agreed to extend financial assistance. Section 2(16) of the Companies Act, 2013 defines charges so as to mean an interest or lien created on the property or assets of a company or any of its undertakings or both as security and includes a mortgage

A charge created by a company is required to be registered with the Registrar within thirty days of its creation. The company shall give intimation to the Registrar of the payment or satisfaction in full of any charge within a period of thirty days from the date of such payment or satisfaction.