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RECTIFICATION OF CHARGES

JAYAKUMAR (MANAGEMENT TRAINEE) (57 Points)

13 July 2010

Hi Friends,

I am currently working on Rectification of Charges.

Could someone help me with how to file the petition and the thereafter procedure elaborately.

Huge thanks for your support.

Jai

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2 Replies

Nitin Grover (CS) (1228 Points)
Replied 13 July 2010

Dear Friend

Firstly prepare form 8 for modification and file it (if 60 days has elapsed) then you need to file petition

Attach Revised Agreement and get sign from MD /Director, etc and Bank Manager.

pls refer section 141 of companies act, 1956.

Regards

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CS Ankur Srivastava (Company Secretary & Compliance Officer) (17853 Points)
Replied 13 July 2010

Under Section 141, CLB has been vested powers to condone delay and grant extention of time for filing of particulars of charges or satisfaction of charge if the company has not filed form 8 within 60 days for creation or modification and form 17 within 30 days for satisfaction of charge.

The procedure of filing petiiton is as under:-

1. Convene a Board Meeting to aprove the proposal for making an application to the CLB.

2. A petition is prepared for submission to the appropriate Bench of the CLB along with prescribed fee and no E form has been prescribed. Petition is prepared in form 1 of Company Law Board Regulations, 1991.

3. Following enclosures shall be annexed to the petition:-

i. Three copies of agreement creating/ modifying charge.

ii. Affidavit in form 2 and 6 prescribed by the CLB Regulations, 1991

iii. Treasury Challan/ DD evidencing payment of prescribed fees.

iv. Memorandum of Apperance in form 5 of the above rules in respect of the person authorised to appear before the bench.

4.After filing of petition, individual notices should be served on such persons as the Bench may direct. Evidence may be taken by the Bench to satisfy itself about the facts. [capital finance co. ltd.]