Charge Registration beyond 120 days

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What can be done if Form CHG-1 is not filled within 120 days? can we go for condonation? please advise at the earliest

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Quick Summary
If Form CHG-1 is not filed within 120 days, the company cannot register the charge directly. It must apply for condonation of delay under Section 460 of the Companies Act, 2013 to the Central Government for approval.

If the charge is not filled within a period of 120 days, , the Company needs to file the application to the Central Government under section 460 of the Companies Act 2013 for condone of delay which states that where any form is required to be filled before the Registar, under any of the provisions of the Companies Act 2013, the central government may condone the delay

CHG-1 is an e-form that has to be filed by a company that wants to create or modify a charge other than relating to debentures. Section 77 of the Companies Act, 2013 states that every charge has to be registered within 120 days, after which no  charge can be registered. However, if you had a valid reason for delay, you can make an application to the Central Government under section 460 of Companies Act, 2013, asking for relaxation of the time period for filing the charge. 

If you have more queries or need any help regarding your company filings, you can reach out to us at LegalWiz.in

which form will be filed for condonation of delay if registration of charge is not made beyond 120 days?


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