section 125

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Querist : Anonymous

Querist : Anonymous (Querist)

14 July 2011 125. Certain charges to be void against liquidator or creditors unless registered.—

(1) Subject to the provisions of this Part, every charge created on or after the 1st day of April, 1914, by a company and being a charge to which this section applies shall, so far as any security on the company’s property or undertaking is conferred thereby, be void against the liquidator and any creditor of the company, unless the prescribed particulars of the charge, together with the instrument, if any, by which the charge is created or evidenced, or a copy thereof verified in the prescribed manner, are filed with the registrar for registration in the manner required by this Act within 1[thirty] days after the date of its creation:

2[Provided that the Registrar may allow the particulars and instrument or copy as aforesaid to be filed within thirty days next following the expiry of the said period of thirty days on payment of such additional fee not exceeding ten times the amount of fee specified in Schedule X as the Registrar may determine, if the company satisfies the Registrar that it had sufficient cause for not filing the particulars, and instrument or copy within that period.] pls ellaborate it in simple language.

CS Bijoy

CS Bijoy (Expert)
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16 July 2011 1) Here said the charge is not fully void if it is not registered but in case of Liquidation of the company the charge can not claim against Liquidator if it is not registered.So charge is required to register with Document proof of creation of charge together with the details of the property charged and the details of the person that means the charge holder to be submitted with the Register within 30 days of the creation of the charge.
2)Register can extend the time limit by further 30 days after payment of extra fees but the fees can not exceed as specified in schedule X.

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