Loan from director
Querist : Anonymous
please clarify can a public limited company take loan from its directors?
thanka on advance
You are talking under New Companies Act, 2013 or under Companies Act, 1956.
Querist : Anonymous
The company is permitted to take loan from its director and it will not be covered under section 58A.
Companies (Acceptance of Deposits) Amendment Rules, 2004.-
1.Short Title and Commencement - (1) These rules may be called the Companies (Acceptance of Deposits) Amendment Rules, 2004.
(2) They shall come into force on the date of their publication in the Official Gazette.
2. In rule 2 of the Companies (Acceptance of Deposits) Rules, 1975, in clause (b), for sub-clause (ix), the following sub-clause shall be substituted, namely:-
" (ix) any amount received from a person who, at the time of the receipt of the amount, was a director of the company or any amount received from a relative of a director or its member by a private company :
Provided that the director, relative of a director or member, as the case may be, from whom money is received, furnishes to the company at the time of giving the money, a declaration in writing to the effect that the amount is not being given out of funds acquired by him by borrowing or accepting from others".
After this amendments in this rule as on 12/03/2004 the public company can take money from its director because the word private company has been replace in this sub clause by the word “ the Company”.
Querist : Anonymous
please clarify is there any requirement to file any return
loan from director has been taken in the year 2012-13 what are the compliances
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