close x
Home > Experts > LAW > Can a private limited company take loan from director?

Please Wait ..

to your account


Remember Me | Forgot your password?


Sign-up now

Join and Share your Knowledge. Registered members get a chance to interact at Forum, Ask Query, Comment etc.

Alternatively, you can log in using:

Can a private limited company take loan from director? (LAW)

Report Abuse
This query is : Resolved

Querist : Anonymous

( Querist )
26 September 2011

If a director has taken a loan from a bank by pledging his FDs,and bank transfer the funds to company's loan a/c, comapny directly repaying the loan to bank on behalf of director,

then can it be treat as a loan taken from bank by the comapny or it should be treat as a unsecured loan from director?

RG - A Helping Hand

( Expert )
28 September 2011

Yes it would be considered as unsecured Loan to company from director. The same should be authorised by passing a board resolution u/s 292.




You need to be the querist or approved CAclub expert to take part in this query .

Click here to login ( Members Login ) now

Similar Resolved Queries :


Quick Links

back to the top