Chapter VI - Registration of Charges
Section 83
Section 83: Registrar’s power to record satisfaction and release
On satisfactory evidence that a secured debt is paid or that property is released from a charge, the Registrar may enter a memorandum of satisfaction or release even if the company has not intimated it.
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Need advice on Section 83?
This article is for general information. Refer to the Companies Act, 2013 official text for the official provisions. If you need professional advice for your situation, contact Bizeneed.
Statutory text
Bare law
(1) The Registrar may, on evidence being given to his satisfaction with respect to any registered charge,— (a) that the debt for which the charge was given has been paid or satisfied in whole or in part; or (b) that part of the property or undertaking charged has been released from the charge or has ceased to form part of the company’s property or undertaking, enter in the register of charges a memorandum of satisfaction in whole or in part, or of the fact that part of the property or undertaking has been released from the charge or has ceased to form part of the company’s property or undertaking, as the case may be, notwithstanding the fact that no intimation has been received by him from the company.
(2) The Registrar shall inform the affected parties within thirty days of making the entry in the register of charges kept under sub-section (1) of section 81.
Introduction
Section 82 places the primary duty on the company to report satisfaction. Section 83 gives the Registrar a separate power to update the register on evidence, so the record does not remain wrong merely because the company failed to report.
Key takeaways
Evidence-based entry
The Registrar acts on evidence given to the Registrar’s satisfaction.
Full or partial
Entries can record whole or part satisfaction, or release of part of the property or undertaking.
Notice to parties
The Registrar informs affected parties within thirty days of the entry.
Grounds for the entry
The Registrar may act when satisfied that the secured debt has been paid or satisfied in whole or part, or that part of the charged property or undertaking has been released or has ceased to form part of the company’s property or undertaking.
Entry and intimation
The Registrar enters a memorandum of satisfaction or release in the register of charges, notwithstanding that the company has not intimated it, and must inform the affected parties within thirty days of making the entry in the register kept under section 81(1).
Practical preparation
Collect the lender’s no-dues or release letter; evidence the payment or release; approach the Registrar if the company cannot or will not file; check the updated register and the Registrar’s intimation.
Practical checklist
Do
- Keep lender closure letters with payment proof.
- Check that satisfied charges actually show as satisfied.
Avoid
- Do not leave a satisfied charge open on the register; it affects future borrowing and searches.
Illustrative example
Hypothetical: lender closure after company inactivity
A loan was repaid but the company never reported satisfaction, and its management is now unavailable.
Evidence
The lender’s closure letter and payment records are assembled.
Registrar
The Registrar, satisfied with the evidence, enters a memorandum of satisfaction.
Notice
Affected parties are informed within thirty days.
Outcome
- The register of charges reflects the satisfaction despite the company’s failure to file.
Glossary
- Memorandum of satisfaction
- The Registrar’s entry that a charge has been satisfied in whole or part.
Frequently asked questions
Can the Registrar close a charge without the company filing?
Yes, on evidence given to the Registrar’s satisfaction under section 83.
Will the parties be told?
The Registrar must inform affected parties within thirty days of making the entry.
Need help applying this provision to your situation?
Contact BizeneedLast updated 11 October 2026