Registration of charges in Nigeria.
According to the Companies and Allied Matter Act (CAMA), every charge must be registered within 90 days of the creation of a such charge. However, when a charge is not registered within 90 days after its creation, the company can apply to the court for extension of time and same will be granted if the court is satisfied that it will not be prejudice to the creditors or shareholders, and that it is just and equitable to grant an extension of time for the registration of such charge.
The procedure for registering charges is as follows;
- A duly stamped and sealed Deed with a counterpart copy.
- A duly completed Form for notice of charge
- Court order where applicable.
- Photocopy of previous registered Deed in case of Deed of up stamping.
- Payment of fees.
Where the charge is a mortgage, evidence of application for Governor’s consent duly submitted to the appropriate authority must be disclosed.
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