Under Section 78 Companies Act 2013, if a company fails to register a charge under Section 77, the person in whose favour the charge was created may apply for registration to the Registrar:
Answer & Solution
Correct answer: B.
1. Section 78 Companies Act 2013: Where a company fails to register a charge under Section 77 within the time specified, the PERSON IN WHOSE FAVOUR THE CHARGE IS CREATED may apply to the Registrar for registration of the charge along with the instrument creating such charge.
2. The Registrar may, on such application, give a notice to the company calling upon it to show cause within 14 days as to why such charge should not be registered.
3. If no cause is shown, or cause is rejected, Registrar may register the charge.
4. The chargeholder is entitled to recover the registration fees from the company.
5. Hence option B is correct.
_Source: Companies Act 2013 (Act 18 of 2013), Govt. of India MCA — Companies Act 2013, Section 78_
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