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    Question

    Hypothecation includes

    A Charge upon movable property Correct Answer Incorrect Answer
    B Charge upon immovable property Correct Answer Incorrect Answer
    C Floating charge on movable property Correct Answer Incorrect Answer
    D Both a and c Correct Answer Incorrect Answer
    E All a,b and c Correct Answer Incorrect Answer

    Solution

    SARFAESI Act - “hypothecation” means a charge in or upon any movable property, existing or future, created by a borrower in favour of a secured creditor without delivery of possession of the movable property to such creditor, as a security for financial assistance and includes floating charge and crystallization of such charge into fixed charge on movable property.

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