01 March 2010
I want to know the logic behind attaching audited balance sheet and memorandum & articles of association with petition documents to be filed with CLB if the company fails to e-file form 8 towards creation/modification of charge? Is there any relation in balance sheet/memorandum & articles of association with creation of charge?
02 March 2010
If you try to find logic, then what is the logic in applying to CLB for creating a charge (in case of delay). The matter could have been very well resolved by the ROC.
I believe that the Law presumes that the Company has not created the charge intentionally. Hence, looking at the balance sheet the CLB would try to know whether the company has disclosed all the registered charge under the Secured Loans category. Whether the assets of the company are enough to support such extent of leverage.
The Memorandum and Articles are referred to verify that the activities of the company are not ultra virus the main objects and whether the other objects and articles empower the directors to do the necessary borrowings.
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