MORTGAGES, DEBENTURES AND RECEIVERS 19g
stock are for practical purposes the same as those of debentures,
and the holders of the stock occupy a position very similar to
that of the holders of debentures. As to the rights of a deben-
ture stockholder to enforce the security, see above p. 196.
The term ‘debenture’ when used in the act ‘includes
debenture stock, bonds and any other securities of the com-
pany, whether constituting a charge on the assets of the
company or not.’

Provisional scrip to bearer is often issued to applicants for Serip,
debentures and debenture stock before the instalments are
finally paid up, and the debenture itself or the stock certificates
issued. The scrip is a negotiable instrument, with the con-
sequence that any person taking it in good faith and for
value obtains a title to it, independent of the title of the person
from whom he takes it [Goodwin v. Robarts (1876), 1 A.C. 476].
Transfer may be made by delivery. The stamp duty on
scrip to bearer is 2d.

Debentures giving a charge on the company’s property
need not be registered under the Bills of Sale Acts, 1878 and
(882 [Standard Manufacturing Co. (1891), 1 Ch. 627]; nor
need trust deeds be registered under those Acts [Richards v.
Kidderminster Overseers (1896), 2 Ch. 212].

There is, however, an elaborate system of registration of
charges (which expression includes mortgages) prescribed by
the Act, with which companies must comply. The object of
the system is the protection of creditors and persons dealing
with the company by compelling publicity of secured loans.
The existing system is a double system, for not only must
charges be registered with the Registrar, but the company
must also itself keep a register of charges. It is unnecessary
here to give in detail the relevant provisions of the Act, but
the more important features of each of the two branches ¢
registration are summarised.

i. The Somerset House Register —This register must contain
the following:

‘A) As regards companies registered in England,

fi) The statutory particulars of charges registered under
5. 14 of the Companies Act, 1900, on or after January
1st, 1gor. These will include charges of the classes
(a). 'b), (c), and (f) set out in (iii), but not (2), (e), (g).
(£), and (3)).
A statement of the total amount of all the other
secured indebtedness of the company as at July
1st, 1908, in respect of mortgages and charges of
the first six classes set out in (iii).

Registration.

Somerset
House
Register.