Companies Act Section 85 — Company’s register of charges
CHAPTER VI REGISTRATION OF CHARGES
Commercial / Corporate
Summary
Sub-section (1) requires every company to keep a register of charges at its registered office, in the form and manner prescribed by rules. This register must list all charges and floating charges that affect any property, assets, or undertakings of the company, and for each charge it must include the prescribed particulars. Additionally, a copy of the instrument that created the charge must also be kept at the registered office, alongside the register.
Sub-section (2) states that the register of charges and the instrument of charges kept under sub-section (1) must be open for inspection during business hours. Under clause (a), any member or creditor of the company can inspect these documents without paying any fees. Under clause (b), any other person can inspect them on payment of the prescribed fees, but the company may impose reasonable restrictions on such inspection through its articles of association.
Official Text
(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:
Provided 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—
(a) by any member or creditor without any payment of fees; or
(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.