Section 85: Company’s register of charges
This section requires companies to maintain a register of charges at their registered office and make it available for inspection by certain individuals.
The section, clause by clause
What the section says
In plain terms
(1)Every company shall keep at its registered office a register of charges in such form and in such manner as may be prescribed, which shall include there in all charges and floating charges affecting any property or assets of the company or any of its undertakings, indicating in each case such particulars as may be prescribed:
Every company must keep a register of charges at its registered office, including all charges and floating charges on its property or assets, with prescribed particulars, and also keep a copy of the instrument creating the charge.
provisoProvided that a copy of the instrument creating the charge shall also be kept at the registered office of the company along with the register of charges.
(2)The register of charges and instrument of charges, kept under sub-section (1) shall be open for inspection during business hours—
The register of charges and instrument of charges must be available for inspection during business hours by members and creditors for free, or by others for a prescribed fee, with reasonable restrictions allowed by the company's articles.
(2)(a)by any member or creditor without any payment of fees; or
(2)(b)by any other person on payment of such fees as may be prescribed, subject to such reasonable restrictions as the company may, by its articles, impose.
The right-hand column is written from the section text, not quoted from it, and it has no legal force. Where the two differ, the left-hand column is the law.
Amendment notes
- 1. Omitted by Act 1 of 2018, s. 20, for certain words (w.e.f. 5-7-2018).
- 2. The Proviso ins. by s. 20, ibid. (w.e.f. 5-7-2018).
- 1. Subs. by Act 29 of 2020, s. 16, for sub-section (1) (w.e.f. 21-12-2020).
- 2. Section 86 numbered as sub-section (1) thereof by Act 22 of 2019, s.12 (w.e.f. 2-11-2018).
- 3. Ins. by s. 12, ibid. (w.e.f. 2-11-2018).
- 4. Subs. by s. 13, ibid., for section 86 (w.e.f. 2-11-2018).
- 5. Subs. by Act 29 of 2020, s. 17, for sub-section (5) (w.e.f. 21-12-2020).
Search the whole Act, or ask it a question, in the interactive browser.
Reproduced from the official India Code print for reference. Check the current text on India Code before you rely on it, and read the section alongside its Rules. Nothing here is legal advice.