Thanks. In our case Director of Comapany 'A' has become director of COmapny 'B' in July 2010. and Company 'A' and ompany 'B' have debtor -creditor relationship.

Company 'A' is unlisted pub Ltd co having paid up capital of 20 cr and Company 'B' is Pvt com.

What back deted compliances I need to do regarding disclosure of Interest and other related sections?

Regards,

Pooja

Madam,

You should have disclosed these details much earlier. I was labouring under the assumption that both companies are Pvt ltd. According to the new information, Section 372A becomes applicable and the matter gets infinitely complicated.

I will get back to you about what compliances you need to follow after I take into account this new information.

I hope the arrangment only involves loans and not goods, services, underwriting of shares etc, since that would make Section 297 also applicable.

I will get back to you after I have considered the various angularities in detail and the applicable legal framework, you can expect my reply by tommorrow.

Thanks and Regards

I think I have confused you.

There are two different situations

Case I: Private Limited comapny is thinking of giving loan for purchasing machineries or lands to Sister Companies which inclueds some Pvt Co's and one unlisted pub Co having Paid up capital of 20 Cr.

now tell me whether Pvt co can give suh loans? and also tell me 24AA disclosures.

Case II: Director and MD of Unlisted Pub co having paid up capital of 20 Cr have become Directors of newly incorporated co in July 2010.Newly icorporated co started supplying materials to Mentiond public co from October  2010. Which compliances were required at that time under section 299,300,301, 297 or under any other section in both the companies. and what is the solution this now?

Regards,

Pooja

Is this newly incorporate company a Pvt Ltd company or is it a Public Ltd comapny

Case II: Newly incorporated company is Pvt co

what is your opinion for Case :I

Regards,

Pooja

Please give following latest details about the lender of loan and reply to my email address ifaimad @ gmail.com   since this is private information and disclosing it on a public forum would attract legal penalties:

1. Paid-up share capital

2. Free reserves

3. loans and investments made so far  to other bodies corporate

4. security and guarantees given in respect of other bodies corporate

5. details of loan to be provided now.

6. if the lender has defaulted in repayment of loans/interest taken from a Public Financial institution

Is this New Pvt Ltd co. a subsidiary of the unlisted Public ltd co?? What is the nature of these 'sister concerns'? Is it a holding-subsidiary relationship. If subsidiary, is it wholly-owned subsidiary???

Also provide details of how many directors are common, since there would be a problem of interested directors being more than non-interested directors.

Again , please dont bring this information on this platform , send an email, i will consider your info in light of various legal provisions and give you an informed answer.

Thanks and Regards

As per Section 292 (1) (C) of the COmpanies Act 1956,

Private Limited Company can give loan to Public Limited Company.

* Regional Director has raised quiery.

if any one know plz let me know with case law.