ACT 125
COMPANIES ACT 1965 (REVISED - 1973)
PART IV - SHARES, DEBENTURES AND CHARGES
DIVISION 7 - REGISTRATION OF CHARGES

 
Section 112A. Assignment and variation of charges.
 
Section 112A. Assignment and variation of charges. (COMPANIES ACT 1965 (REVISED - 1973) - ACT 125) (1) Where, after a charge on property of a company has been created and registered under this Division, a person other than the original chargee becomes the holder of the charge, the person who becomes the holder of the charge shall, within thirty days after he becomes the holder of the charge—

    (a) lodge with the Registrar a notice in the prescribed form stating that he has become the holder of the charge; and

    (b) give the company a copy of the notice.

(2) Where, after a charge on property of a company has been created and registered under this Division, there is a variation in the terms of the charge having the effect of—

    (a) increasing the amount of the debt or increasing the liabilities (whether present or prospective) secured by the charge; or

    (b) prohibiting or restricting the creation of subsequent charges on the property,

the company shall, within thirty days after the variation occurs, lodge with the Registrar a notice in the prescribed form setting out the particulars of the variation.

(3) Where the amount of debt or liability secured by a registrable charge created by the company is—

    (a) unspecified; or

    (b) specified with further advances,

any payment or advance made by the chargee to the company in accordance with the terms of the charge shall not be regarded, for the purpose of subsection (2), to be a variation in the terms of the charge.

(4) A reference in this section to the chargee in relation to a charge shall, if the charge is constituted by a debenture or debentures and there is a trustee for the debenture holders, be construed as a reference to the trustee for debenture holders.

(5) If default is made in complying with this section, the company and every officer of the company who is in default shall be guilty of an offence against this Act.

Penalty: One thousand ringgit. Default penalty.