• General provisions

    • 678. Meaning of "debenture"

      In these Regulations "debenture" includes debenture stock, loan stock, bonds and any other securities of a company, whether or not constituting a charge on the assets of the company.

    • 679. Perpetual debentures

      (1) A condition contained in debentures, or in a deed for securing debentures, is not invalid by reason only that the debentures are made—
      (a) irredeemable, or
      (b) redeemable only—
      (i) on the happening of a contingency (however remote), or
      (ii) on the expiration of a period (however long),
      any rule of equity to the contrary notwithstanding.
      (2) Subsection (1) applies to debentures whenever issued and to deeds whenever executed.

    • 680. Enforcement of contract to subscribe for debentures

      A contract with a company to take up and pay for debentures of the company may be enforced by an order for specific performance.

    • 681. Registration of allotment of debentures

      (1) A company must register an allotment of debentures as soon as practicable and in any event within two months after the date of the allotment.
      (2) If a company fails to comply with this section, a contravention of these Regulations is committed by—
      (a) the company, and
      (b) every officer of the company who is in default.
      (3) A person who commits a contravention of this section is liable to a level 2 fine.
      (4) For the duties of the company as to the issue of the debentures, or certificates of debenture stock, see Part 20 (certification and transfer of securities)