Auditor as a creditor of a company

This query is : Resolved 

13 July 2012 Can a statutory auditor gives loan to the same company for which he sings. If possible mention with section and/or case laws.

13 July 2012 Hi

Please read section 226(3) of the Companies Act, 1956 dealing with qualification and disqualification for appointing an auditor of company.


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