It is a fundamental principle of company law that the capital of a company must be maintained. Explain what 'maintenance of share capital' means and the exceptions to the rule.

Outline FOUR (4) rules applicable to the payment of dividends.

ABC was granted a charge on February 1 in respect of the assets in Macca Company Ltd., but the charge was not registered with the Registrar of Companies. PQR Bank was also granted a charge on February 1 in respect of certain property in St. Elizabeth owned by Macca Company Ltd. and registered the charge on March 21.

Explain the legal consequences of the failure to register ABC's charge and PQR's late registration.