BTL 915 - Search Reports

 

The Banking Tutor’s Lessons

BTL 915                                                                               03-07-2026

Search Reports

Search Report means inspecting records and providing evidence of the same. Now-a-days Search Reports have become an integral part of documents by banks while sanctioning loans. Whether it be relating to any property title or any encumbrances created on the same. Banks have become more cautious while providing loans against properties to individuals and/or companies with a view to avoid future consequences. The Banks make sure that the Firm (including partners) or Company (including Directors) are not disqualified or defaulters under any law.

Here we shall emphasis on both i.e. Property Search Report and ROC Search Report required by banks while providing loans.

In present day Banking we come across 3 types of Search Reports as under:

01. Search Report related to title of the Immovable Properties (land & Building)

02. Search Report related to Charges filed with Registrar of Companies.

03. Search Report related to Registration of Equitable Mortgage Transaction with CERSAI.

 

Property Search Report

A property search report means digging down to the history of the Land or Property like who was the original owner and step down series of property till it reached the present owner.

The property search is taken over a period of 30 years. Usually the report is prepared by an Advocate who after visiting the Registrars Office inspects the documents and issues a Title Certificate.

ROC Search Report

The ROC Search Report are mainly prepared by a Practicing CA/CS/CMA or Advocate after inspection of the document and records of the Company as per ROC records.

The Search Report is mainly asked by the Banks while granting Loans to the  Companies. It helps the Banks in determining whether the property kept as security is free from encumbrances and no step down charges are created. This keeps banks safe from defaulting companies.

The search report generally contains the following information about a company

Name of the company

Date of incorporation

CIN of the company

The capital structure of the company

Registered office

Details of the company directors

Details of shareholders

Details of registered charges

 

The Search Report may also include other matters (like Director Disqualified/Defaulters, GST Returns, Income Tax paid, any court matters against the company etc.)

Hence, it can be concluded that the search reports serve the complete purpose of stakeholders to know about the company in which they are going to invest, control, manage, provide loan, enter into a contract etc.

 

Process of Preparing Search Report

The search report is prepared either by physically visiting ROC and inspecting the documents and records or by inspecting the documents available on the MCA website. The prescribed fee is to be paid physically before going to the ROC for  inspection of the documents or records. The person inspecting has to visit the ROC along with the challan paid for the fees. The challan must be in the name of the person going for inspection, or he should have an authority letter with him if the challan is in the name of a company.

At the time of inspection, the details can be noted in the ROC only with a pencil.

Usage of pens is not allowed to note the details. If the inspection is done through the MCA website, then the fee is to be paid by logging on to the website.

The fee is paid through the payment options given on the website. Once the fee is paid, documents can be viewed under the ‘View Public Document’ option present under the ‘MCA Services’ tab. After payment of the fee, the documents are available for viewing for one week and not more than three hours continuously.

In many Banks, it is a practice to obtain Search Report from RoC annually, whether there is enhancement in credit exposure or not, during the Review/Renewal of the borrowal account.

CERSAI Search Report

When the prospective borrower/existing borrower offer any landed property as security, Banks obtain a Search Report from CERSAI Site to ensure that the said property is free from any encumbrance or to know the details of present encumbrances on the said property.

Sekhar Pariti

+91 9440641014