How to get Satisfaction of Charge certificate from Registrar of companies?

A company upon payment or satisfaction in full of any charge registered under Chapter VI of companies Act 2013 shall give intimation of satisfaction to the Registrar of Companies. The procedure for applying for the certificate of satisfaction of charges registered under companies act are as under. The company shall approach lender bank/financial institution to issue…

What is the difference between Hypothecation and Mortgage?

The lender’s right to the term “Hypothecation of assets” is not defined anywhere in the statute. Some courts have even compared hypothecation to the mortgage of movables. Hypothecation of assets is defined in SARFAESI ordinance 2002 as under; “a charge in or upon any movable property, existing or future, created by a borrower in favour…

Forensic audit in banks

Forensic audit is a process of conducting the audit of an organization or of an individual’s financial information, to produce the same as evidence in the court. The forensic auditor’s report may help to nail and prosecute the parties involved in fraud, embezzlement or for other types of financial misappropriations. In banks, forensic audit signifies…

How to compute period of limitation for personal-guarantee?

The law of limitation means the time-limit for different suits within which an aggrieved person can approach the court to obtain a decree against the principal debtor and surety. The different time limit or period of limitation is prescribed for different types of suits, appeals or applications in the ‘Schedule’ to the Limitation Act, 1963.…

Circumstances that may discharge Guarantor from all liabilities

Definition of Guarantee: A contract of guarantee means a contract to perform the promise or discharge liability of the third person in case of his default. A guarantee which extends to series of transactions is called continuing guarantee. The meaning of Surety (Guarantor), principal debtor, and creditor: The person who gives the guarantee is called…