Creation of Charge
Harinarayan R. Tripathi
(Querist) 28 August 2010
This query is : Resolved
Dear Sir,
I would like to know the procedure to be followed by a Company who wants to create mortgage on its properties i.e. project assets situated in the state outside India to secure loan granted by a Bank in India.
Clarifications:-
Lender:- belongs and hold office in India
Borrower:- belongs and registered in India
Project:- Project of Borrower is situate at Outside India
Please submit your views.
Thanks in advance.
aruntrivedi
(Expert) 29 August 2010
ask your CS to file forms with ROC
Harinarayan R. Tripathi
(Querist) 30 August 2010
Dear Shri Arunbhai
In furtherance of your reply I clarify that I would like to know the procedure to be followed by company in respect of registration of mortgage and charge with Sub-Registrar of Assurances not ROC since the ROC is the last part of the process.
Awaiting your reply.
Mani Narayanaswamy
(Expert) 30 August 2010
Primarily, does the property belong to the company? You can create a charge over receivables with your banker. Mortgage can be created over the property owned by the company only or over the receivables or over the leasehold rights. Your question should be more specific
Harinarayan R. Tripathi
(Querist) 31 August 2010
Dear Mr. Maniji
With thanks for your answer-cum-question I would like to clarify that since the Company itself is setting up its project it is obvious that there will be some interest in the land on which the project will run it may in the nature of freehold or leasehold.
For Term Loans generally the lenders are taking first charge over the project assets which includes land, building, plant and machineries (movable and immovable), receivable etc.
I hope the aforesaid clarifications will meet with your points.
