Whether filing of form 8 is required ?

This query is : Resolved

Sneha (Querist)
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02 December 2011 Whether Form 8 has to be filed for creating a charge on Director's property while securing a loan in favour of Company ?

CS Ankur Srivastava

CS Ankur Srivastava (Expert)
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02 December 2011 Personal securities are not covered in form 8. Only to create charge on the property of Company form 8 is filed.

Section 125(4) list out the charges which are covered under section 125 and in respect of which form 8 is to be filed.

Charu Srivastava

Charu Srivastava (Expert)
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02 December 2011 section 125 applies to the following charges:—

(a) a charge for the purpose of securing any issue of debentures;

(b) a charge on uncalled share capital of the company;

(c) a charge on any immovable property, wherever situate, or any interest therein;

(d) a charge on any book debts of the company;

(e) a charge, not being a pledge, on any movable property of the company;

(f) a floating charge on the undertaking or any property of the company including stock-in-trade;

(g) a charge on calls made but not paid;

(h) a charge on a ship or any share in a ship;

(i) a charge on goodwill, on a patent or a licence under a patent, on a trade mark, or on a copyright or a licence under a copyright.

Directors property is not covered hence no need to file Form 8

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Sneha

Sneha (Querist)
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02 December 2011 Thank you so much for resolving my query. I further want to know that is there any way to find out whether the Director's personal property is mortgaged or not? I mean I want to know whether the director's said property is free from all encumbrances or not? So how can I find that?