MCA1 min read
Charge
A security interest created by a company on its assets in favour of a lender under Section 2(16) of Companies Act 2013. Must be registered with ROC within 30 days of creation using Form CHG-1. Failure to register makes it void against liquidator.
Last updated: 17 May 2026
Frequently Asked Questions (FAQs)🔗
Q1. What is Charge in Indian corporate law?▼
A security interest created by a company on its assets in favour of a lender under Section 2(16) of Companies Act 2013. Must be registered with ROC within 30 days of creation using Form CHG-1. Failure to register makes it void against liquidator.
Q2. Why is Charge important for compliance?▼
Charge is governed by the Ministry of Corporate Affairs under the Companies Act, 2013. Understanding this concept is essential for ensuring regulatory compliance, avoiding penalties, and making informed corporate decisions in India.
Q3. Who should know about Charge?▼
Charge is relevant for company secretaries, compliance officers, chartered accountants, corporate lawyers, board members, and all professionals dealing with MCA regulatory matters in India.
Contextual Analysis & Regulatory Updates🔗
Read our latest analysis and critical updates on corporate circulars related to MCA:
Form DIR-12 Complete Guide: Director & KMP Appointment, Cessation & Designation Filing Under Companies Act 2013
Published: 29 June 2026
MCA Data Centre Fire & Complete Relief Package — DPT-3, Name Reservation & CCFS-2026 (June 2026
Published: 28 June 2026
MCA CCFS-2026: Companies Compliance Facilitation Scheme — File Pending Annual Returns at 10% Additional Fees by July 15, 2026
Published: 28 June 2026