31 October 2012
Dear Members , I would like to know that how (listed) Public limited company can accepted an unsecured loan from an individual/ corporate (Other than Director or Share holder, Banks/ Financial Insitiutions). And make the interest payment. What shall be the remedy & resonable option to do such transaction. What is the limit applicable, does it attract section 58A deposit?
01 November 2012
Yes, it may accept, it has to comply with the Companies (Acceptance of Deposit) Rules, 1975.
Before inviting or accepting any deposit the company needs to publish an advertisement or file Statement in lieu of advertisement then only it may accept deposit.
CAclubindia
