CHG – 1

Application for registration of creation or modification of charge for debentures or rectification of particulars filed in respect of creation or modification of charge for debentures

• eForm CHG-1 is required to be filed pursuant to Section 77, 78 and 79 and Section 384 and Rule 3(1) of the Companies Rules, 2014
• All the companies are required to file particulars for registration of charges created or modified within specified period to concerned Registrar of Companies. The charge can be created on various types of assets situated in or outside India and may be created in favor of lenders such as Banks or financial institutions. Every charge that is created or modified by the company is required to be filed in eForm CHG-1 to concerned RoC in case of Indian Company and RoC, Delhi in case of a foreign company.
• In case eForm is filed by the company within 300 days from the date of charge creation or modification(i.e. where condonation of delay is not required):
• eForm shall be taken on record through electronic mode without any processing at the Registrar of Companies office. Ensure that all particulars in the eForm are correct.
• All following cases shall be processed by the office of Registrar of Companies:
  • In case eForm is filed by the charge holder beyond 30 and within 300 days from the date of charge creation or modification (i.e. where condonation of delay is not required and the company if having any concerns may contact the Registrar within 14 days. This eForm shall not be registered up to fifteen days from the date of filing); Or
  • In case eForm is filed by the company or the Charge-holder beyond 300 days from the date of charge creation or modification (i.e. where condonation of delay is required), then the application to Central Government for condonation of delay is required to be filed in eForm CHG-8 after filing this eForm and this eForm will be processed by the RoC office after order of Central Government for approval for condonation of delay in eForm INC.28 has been filed.

• In case the eForm is to be filed for modification of charge, enter the charge identification number allotted at the time of registration of the charge.

• Please note that charge ID entered for modification should be open charge ID and not satisfied.

• Select whether the applicant is a company or a charge holder. Charge holder can file this eForm only after 30 days from the date of creation or modification of charges.

• Condonation of delay is required for further extension of time from the Central Government in case the eForm is being filed beyond 300 days.

• In case of modification of charge, select whether or not the charge is modified in favor of asset reconstruction company (ARC) or assignee. In case ‘Yes’ selected, then attach debt assignment agreement as an optional attachment.

• In case of modification of charge if the charge has been modified in favor of ARC or assignee then select whether or not the charge holder is authorized to assign the charge as per the charge agreement.
• In case of creation of charge, enter the date of creation of charge. In case of modification of charge, enter the date of modification of charge
• In case of creation or modification of charge, enter the nature of the charge, a brief description of the instrument along with its particulars.
• In case the charge is created out of India and comprises solely of property situated outside India, then it shall be registered within 30 days of its creation and not from the date on which instrument creating the charge is received in India.
• Select whether consortium finance (i.e. If there are more than one charge holders) is applicable or not and specify the name of the lead banker if consortium finance is applicable.
• Enter the details of the charge holder. In case charge is modified in favor of ARC or assignee, enter the details of ARC or assignee.
• In case of consortium finance and/ or joint charge, enter details of the lead charge holder only and provide the details of the other charge holder(s) as an attachment.
• Enter the total amount secured by the charge. In case the amount is in foreign currency, enter its rupee equivalent and mention details of the foreign currency. System shall automatically display the amount in words based on the amount entered by the user.
• Enter the details of creation or modification of the charge. In case of modification of charge, enter the particulars as applicable after such modification.

Attachments:

• Instrument(s) of creation or modification of charge is a mandatory attachment in all cases.
• Instrument(s) evidencing ……….which is already subject to charge ……………such acquisitions. This attachment is mandatory in case if there is any acquisition of property which is already subjected to charge.
• Particulars of all joint charge holders. It is mandatory if number of charge holder is more than one.

Fees:

In case of company having share capital

In case company not having share capital

Rupees 200 per document

In case of foreign company

Rupees 6,000

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