Rectification by Central Government in Register of charges
Section 87 of the Companies Act, 2013 deals with rectification by Central Government in Register of charges. The Central Government on being satisfied that-- (a) the omission to give intimate to the Registrar of the payment or satisfaction of a charge, within the time required under this Chapter; The Act came into force on 01 Apr 2014.
1[87. Rectification by Central Government in Register of charges.-- The Central Government on being satisfied that--
(a) the omission to give intimate 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.]
Section 87, The Companies Act, 2013 (Act 18 of 2013).
Cross-references
Extracted from the operative text of the enactments themselves. Every destination below exists in our corpus.
Related judgements & precedents
These are some judgments that construed this section, and hold precedence value. They hold authority on how to read, interpret and use this section.
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Urmil Properties, Investment PVT LTD vs Registrar of Companies, Ors.
Court's Decision & Legal Precedent
The Court held that the power under Section 87 to extend the time for intimating satisfaction of a charge is to be exercised on terms that are 'just and expedient', so that where the delay in filing Form CHG-4 was caused by the death of the founder-director during Covid and fell within the limitation period excluded by the Supreme Court's suo motu order, costs of Rs.2,00,000 imposed by the ROC were disproportionate and were reduced to Rs.50,000.
On this section: Construes the 'just and expedient' condition in Section 87 and holds that the monetary condition the Central Government/ROC attaches to condonation must be proportionate to the nature of the default.
The holding above is the ratio decidendi as extracted from the judgment by eCourts India, reproduced unaltered — it is a rendering of the court's reasoning, not a substitute for its words. Read the order itself before relying on it.
Judgments citing this section
These may be obiter dicta or a precedent, for you to study. These are the judgments where this section is quoted.
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… Ashok Mittal caused Hillcrest to issue notice under section 169(4) of the Act for EOGM to oust the duly elected board of HQRL and to appoint their nominee on the ground of nonpayment of dividend on the redeemable preference shares as provided under section 87(2)(b) of the Companies Act. Section 87 of the Companies Act is extracted below: > "Sec 87 Voting rights (1) Subject to the provisions of section 89 and subsection (2) of section 92 : (a) every member of a company limited by shares and holding any equity share capital therein shall have a right to vote, in …
Made under this section, and citing it
2 instruments state that it was made under this provision — the power to make it comes from here, so a change to any of them changes what this section requires in practice. Newest first.
Another 3 instruments name this provision in its title or its text without being made under it.
Questions about Section 87
What have the courts held on Section 87 of the Companies Act?
Urmil Properties, Investment PVT LTD vs Registrar of Companies, Ors. (28 Mar 2023) is the leading judgment on this section among those set out below: Construes the 'just and expedient' condition in Section 87 and holds that the monetary condition the Central Government/ROC attaches to condonation must be proportionate to the nature of the default.
How do I find court cases under Section 87 of the Companies Act?
In judgments and charge sheets this section is written several ways, and each form finds a different set of orders. These search the full text of every order eCourtsIndia holds, best matches first: Companies Act 87, section 87 Companies Act, section 87 of the Companies Act. People searching for it also type companies act 2 87. Each opens the full list of orders on eCourtsIndia, where it can be narrowed by court, year and outcome. 1 reported judgment on this section is set out on this page, beginning with Urmil Properties, Investment PVT LTD vs Registrar of Companies, Ors. (28 Mar 2023).
What should I read with Section 87 of the Companies Act, and has it changed?
Its own text turns on section 82 (Company to report satisfaction of charge), section 83 (Power of Registrar to make entries of satisfaction and release in absence of intimation from company), so none of them can safely be read on its own. The rules and notifications made under it are where it actually bites, and there are 2: most recently G.S.R. NO. 664(E) The Companies (Registration of Charges) Second Amendment Rules, 2022 dated 29.08.2022 (2022), then Chapter VI - The Companies (Registration of Charges) Rules, 2014. (2014).
When did Section 87 of the Companies Act come into force?
Section 87 of the Companies Act, cited as Companies Act 87, came into force on 01 Apr 2014, having been enacted on 29 Aug 2013. It is in force as at the date shown on this page.
Other sections of this Act
- 2. Definitions5089 words
- 143. Powers and duties of auditors and auditing standards1867 words
- 230. Power to compromise or make arrangements with creditors and members1432 words
- 232. Merger and amalgamation of companies1416 words
- 149. Company to have Board of Directors1403 words
- 217. Procedure, powers, etc., of inspectors1390 words
Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Text as in force on 15 Oct 2026. This page is not a substitute for legal advice.