CHG-1 form not signed by Director/CEO or CFO of the Company

Hello All, 

There are few instances where Banks have filed Charge forms (CHG-1) on behalf of their client Companies only with the DSC of Charge Holder ( Bank)  and Certifying Professional and no DSC of any Director/ CEO/ CFO/Secretary has been affixed in the form.

Also, on these forms, the attachment has the Board Resolution wherein Director is authorized to sign the CHG-1 form. 

Please let me know, is this a right practice to be followed ?

 

Replies (3)
Quick Summary
This discussion addresses concerns about CHG-1 forms being filed without the required signatures from a Company Director, CEO, or CFO, relying solely on the Charge Holder's DSC. While some argue that the Charge Holder can initiate the process, it's clarified that the company may receive a Show Cause Notice from the ROC if proper authorisation and signatures are missing. The consensus leans towards ensuring all necessary signatories are included for compliance.

If charge holder is filing eform and intimating to ROC then there is no need to attach board resolution only loan agreement and charge deed will enough ..
Charge holder can apply for or intimate ROC to register by paying the fee
ROC will send a Show Cause Notice to company for not getting register
if company not respond within 14 days , then ROC will Register the charge..

The charge holder has a right to collect the fee paid , from the company

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