Deposit

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DHAVAL R ASHAR (Querist)

13 February 2012 Respected Experts ,
Whether a Pvt.Ltd Company can accept loans from any outsider.
and if it is aviolation then what will be its consequences.

CS Mitesh Mehta

CS Mitesh Mehta (Expert)

14 February 2012 Yes Private company can take a loan from outsider.

CS SIDDHARTHA BANIK

CS SIDDHARTHA BANIK (Expert)

14 February 2012 Sec. 3(1)(III) or Sec 2 does not define the term Deposit. Sec. Sec. 3(1)(III) provides that the restriction of a Pvt. Co. to accept deposit from Public. Companies Acceptance of Deposit Rules defines Deposit as deposit of money and includes any amt. borrowed by a company but does not include the exempted categories as provided in the Rules.

Therefore, the Pvt. Ltd. Company can obtain loan from any of the exempted category.

Thanks,
CS Siddhartha Banik

DHAVAL R ASHAR

DHAVAL R ASHAR (Querist)

16 February 2012 Hi Siddhartha,

But if a Pvt.Ltd company takes loan from a HUF which is not related in any way to the company whether it comes into exempted category ?
Whether it is a violation U/s 3(1)(iii)(d)

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