Charge not filed with ROC

This query is : Resolved

Jeeth Kochar (Querist)
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16 March 2010 Dear All,

I would like to know the details and impact for non filing of charges created in the year 1989. Also would like to know whats the consequence and what shall be done now with respect to it.

Regards
Jeeth

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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16 March 2010 If the charges are not registered, the lender cannot enforce their claim on the asset of the borrower. Non registration is a contravention of section 125 of The Companies Act,1956. The consequences are the company and every officer shall be liable for punishment under section 142(1) which may extent to Rs. 5,000/- for every day during which the default continues. For regularizing the issue, the company has to approach the company law board to condone the delay in registering the charge.