01 July 2008
Section 372 is not applicable to private company
subsection 14 states (14) This section shall not apply-
to any banking or insurance company; to a private company, unless it is a subsidiary of a public company; to any company established with the object of financing, whether by way of making loans or advances to, or subscribing to the capital of, private industrial enterprises in India, in any case where the Central Government has made or agreed to make to the company a special advance for the purpose or has guaranteed or agreed to guarantee the payment of moneys borrowed by the company from any institution outside India; to investments by a holding company in its subsidiary, other than a subsidiary within the meaning of clause (a) of sub-section (I) of section 4;]
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