Section 82 of Companies Act, 2013 – Company to Report Satisfaction of Charge

SECTION 82. COMPANY TO REPORT SATISFACTION OF CHARGE

[Effective from 1st April, 2014]

(1) A company shall give intimation to the Registrar in the prescribed form, of the payment or satisfaction in full of any charge registered under this Chapter within a period of thirty days from the date of such payment or satisfaction [4][***]

[1] [Provided that in case of a Specified IFSC private company, the Registrar may, on an application by the company, allow such registration to be made within a period of three hundred days of such creation on payment of such additional fees as may be prescribed.]

[2] [Provided that in case of a Specified IFSC public company, the Registrar may, on an application by the company, allow such registration to be made within a period of three hundred days of such creation on payment of such additional fees as may be prescribed.]

[5] [Provided that the Registrar may, on an application by the company or the charge holder, allow such intimation of payment or satisfaction to be made within a period of three hundred days of such payment or satisfaction on payment of such additional fees as may be prescribed.]

(2) The Registrar shall, on receipt of intimation under sub-section (1), cause a notice to be sent to the holder of the charge calling upon him to show cause within such time not exceeding fourteen days, as may be specified in such notice, as to why payment or satisfaction in full should not be recorded as intimated to the Registrar, and if no cause is shown, by such holder of the charge, the Registrar shall order that a memorandum of satisfaction shall be entered in the register of charges kept by him under section 81 and shall inform the company that he has done so:

Provided that the notice referred to in this sub-section shall not be required to be sent, in case the intimation to the Registrar in this regard is in the specified form and signed by the holder of charge.

(3) If any cause is shown, the Registrar shall record a note to that effect in the register of charges and shall inform the company.

(4) Nothing in this section shall be deemed to affect the powers of the Registrar to make an entry in the register of charges under section 83 or otherwise than on receipt of an intimation from the company.

Applicable Rules

Companies (Registration of Charges) Rules, 2014

[Effective from 1st April, 2014]

Rule 8. Satisfaction of charge.—[3][(1) A compary or charge holder shall within a period of three hundred days from the date of the payment or satisfaction in full of any charge registered under Chapter VI, give intimation of the same to the Registrar in Form No.CHG-4 along with the fee.]

(2) Where the Registrar enters a memorandum of satisfaction of charge in full in pursuance of section 82 or 83, he shall issue a certificate of registration of satisfaction of charge in Form No. CHG-5.

[1] Inserted vide Notification no. G.S.R. 9(E).dated 04th January, 2017.

[2] Inserted vide Notification no. G.S.R. 08(E).dated 04th January, 2017.

[3] Substituted by Companies (Registration of Charges) Amendment Rules, 2018 vide Notification F No. 1/10/ 2013-CL-V dated 5th July, 2018. Prior to the substitution it read as under:

“(1) A company shall within a period of thirty days from the date of the payment or satisfaction in full of any charge registered under Chapter VI, give intimation of the same to the Registrar in Form No. CHG-4 along with the fee.”

[4] Omitted by the Companies (Amendment) Act 2017 vide Notification No. File No. 1/1/2018-CL.I-Part  dated 5^th July, 2018 effective from 15th August, 2018. Prior to omission it read as under:

“and the provisions of sub-section (1) of section 77 shall, as far as may be, apply to an intimation given under this section.”

[5] Inserted by the Companies (Amendment) Act 2017 vide Notification No. File No. 1/1/2018-CL.I-Part  dated 5^th July, 2018 effective from 15th August, 2018.