CHAPTER 415
TRADES CHARGES ACT

Arrangement of Sections

   Section

   1.   Short title

   2.   Interpretation

   3.   Floating and fixed charges

   4.   Procedure for and effect of registration of charges and the satisfaction and cancellation thereof

   5.   Effect of floating and fixed charges

   6.   Effect of fraud

   7.   Penalty for non-disclosure or incorrect information

   8.   Regulations

AN ACT

to provide for the creation of charges to secure loans advanced by banks, financial institutions or parastatal corporations to persons licensed under the Trades Licensing Act; to establish a register to record such charges; and to provide for matters incidental to or connected therewith.

[28th September, 1973]

Act 49 of 1973,

Act 13 of 1994.

1.   Short title

This Act may be cited as the Trades Charges Act.

2.   Interpretation

In this Act, unless the context otherwise requires—

“bank” and “financial institution” shall have the meaning respectively assigned to those expressions in the Banking and Financial Services Act.

“bulk transfer” means transfer by a person of the whole or a substantial part of his secured property otherwise than in the ordinary course of his business;

“debtor”, in relation to a particular floating charge, means the person identified in the register as the debtor;

“parastatal corporation” means any body corporate established by an Act of Parliament; or any company (registered under section 32 of the Companies Act) in which more than fifty per centum of the paid-up capital is held directly or indirectly by Government;

“person giving the security”, in relation to a particular floating charge, means the person identified in the register as the owner of the secured property;

“register” means the register maintained under sub-section (2) of section 4;

“Registrar” means the Registrar of Trades Charges appointed under sub-section (1) of section 4;

“secured party”, in relation to a particular charge, means the bank, financial institution or parastatal corporation which is identified in the register as the creditor or its assignee;

“secured property” means, with respect to a specific floating charge, the stock-in-trade or other personal property described in the register, whether or not at the time of registration such property is in existence or owned by the person giving the security and, with respect to a specific fixed charge, the property described in the register;

“stock-in-trade” means any goods the person giving the security sells by way of business as defined in the Trades Licensing Act;

“reserved licence” has the meaning assigned to it in section 17 of the Trades Licensing Act;

“trader” means a person who holds a reserved licence.

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