Declaration in Respect of Registered Charges (Section 184(1A) BVI Business Companies Act, 2004)

Summary

This is a statutory declaration form (Form K1) used under section 184(1A) of the BVI Business Companies Act, 2004 when a BVI company that has a registered charge over its property wishes to continue out of the Virgin Islands as a company incorporated elsewhere. It requires a director or registered agent to declare how the interests of the chargee have been addressed before the continuation proceeds.

• Charge status: The declarant confirms the company has a registered charge under section 163 that has not been released or satisfied, and that the charge does not prohibit continuation outside the Virgin Islands.
• Option (a): A notice of satisfaction or release of the charge has been filed and registered under section 165.
• Option (b): The chargee has been notified in writing of the intended continuation and has consented or not objected.
• Option (c): Even without release, consent or objection, the company confirms the chargee's secured interest will not be diminished or compromised, and the charge will continue to operate as a liability under section 181(5)(a).
• Execution: The declaration must state where and when it was made and be signed by the declarant (a company director or registered agent) and witnessed.

The form itself does not set a filing deadline; it is completed as a supporting document in connection with an application to continue the company out of the Virgin Islands where a registered charge exists.

Key obligations

• A company with a registered, unreleased charge that intends to continue out of the Virgin Islands must make this declaration confirming compliance with section 184(1A) before continuation.
• The declarant must select and substantiate one of options (a), (b) or (c) regarding notice, release, or protection of the chargee's interest.
• The declaration must be signed by a company director or registered agent and countersigned by a witness.

Applies to

BVI business companies intending to continue out of the Virgin Islands, company directors, registered agents, chargees holding registered charges under section 163