Amended and updated notes on section 87 of Companies Act 2013. Detail discussion on provisions and rules related to rectification by Central Government in register of charges.
Chapter VI (Sections 77–87) of the Companies Act, 2013 (CA 2013) deals with the provisions related to registration of charges. Section 87 of CA 2013 provides for rectification by Central Government in register of charges.
Recently, we have discussed in detail section 86 (Punishment for contravention) of CA 2013. Today, we learn the provisions of section 87 of Companies Act 2013 read with the Companies (Registration of Charges) Rules, 2014.
Section 87 of the Companies Act, 2013 has been notified by the Ministry of Corporate Affairs (MCA) vide Notification No. S.O. 902(E) issued dated 27.03.2014. This notification was come into force from 1st April, 2014 i.e. the commencement date of section 87 is 1-04-2014. Further, the entire section 87 has been substituted by the Companies (Amendment) Act, 2019 w.e.f. 2nd November, 2018.
| Name of Act | The Companies Act 2013 |
|---|---|
| Enacted by | Parliament of India |
| Administered by | Ministry of Corporate Affairs (MCA) |
| Number of Chapters | 29 |
| Number of Sections | 484 (470-43+57) |
| Number of Schedules | 7 |
| You are reading: | |
| Chapter No. | VI |
| Chapter Name | Registration of Charges |
| Section No. | 87 |
| Section Name | Rectification by Central Government in register of charges |
| Monthly Updated Edition | Company Law PDF |
Section 87 of Companies Act 2013: Rectification by Central Government in register of charges
Section 87 was substituted by the Companies (Amendment) Act, 2019 w.e.f. 02-011-2018.
The Central Government on being satisfied that —
- (a) the omission to give intimation to the Registrar of the payment or satisfaction of a charge, within the time required under this Chapter; or
- (b) the omission or misstatement of any particulars, in any filing previously made to the Registrar with respect to any charge or modification thereof or with respect to any memorandum of satisfaction or other entry made in pursuance of section 82 or section 83,
was accidental or due to inadvertence or some other sufficient cause or it is not of a nature to prejudice the position of creditors or shareholders of the company, it may, on the application of the company or any person interested and on such terms and conditions as it deems just and expedient, direct that the time for the giving of intimation of payment or satisfaction shall be extended or, as the case may require, that the omission or misstatement shall be rectified.