SHARE ALLOTMENT
This query is : Resolved
19 February 2011
Dear Friends PlZ answer of the following query:
Mr. X is the MD of A Ltd and director of B Pvt. Ltd.
B Pvt. Ltd. has given a loan of Rs. 5 Crore to A Ltd and now Mr. X want to pay Rs. 5 Crore to B Pvt. Ltd. directly on Behalf of the A Ltd ( for repayment of Loan) and desireous of getting shares of Rs. 5 Crore from A Ltd. is the transction valid ?
Mr. X is the MD of A Ltd and director of B Pvt. Ltd.
B Pvt. Ltd. has given a loan of Rs. 5 Crore to A Ltd and now Mr. X want to pay Rs. 5 Crore to B Pvt. Ltd. directly on Behalf of the A Ltd ( for repayment of Loan) and desireous of getting shares of Rs. 5 Crore from A Ltd. is the transction valid ?
21 February 2011
According to me, proper course would be X pay Rs. 5 Crores to A Ltd. towards share subscription and A Ltd to repay its debt to B Ltd.
However by way of executing a tripartite Agreement, this type of transaction can be entered into.
Other experts in the forum, please give your comments.
However by way of executing a tripartite Agreement, this type of transaction can be entered into.
Other experts in the forum, please give your comments.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Itr 1 processing
- Reporting Income under Section 44ADA
- Building and other construction workers welfare cess act 1996
- Bank Accounts in Balance Sheet for ITR 3
- ITR validation error - Balance sheet is not filled
- ITR 1: Details for showing Exempt Income
- TDS ON CASH WITHDRAWALS...
- Annual return of gst limit
- U/s 44AD of Income tax
- LIC Annuity received under Jeevan Akshay Scheme
- Opting out" of regime provided under subsection (1A) of Section 115BAC but Form 10IEA is not filed.
- Difference in tax comparison report
- Gst invoice numbering and delivery challan numbering
- Sales amount in Gstr1
- E Commerce GSTR1 & 3B how to file
- GST Cancellation without jurisdiction
- Legal Opinion on Registrar's Refusal to Investigate a Society for Non-Renewal and Non-Compliance
- GST Refund_RFD-01
- Form10BD was uploaded successfully without any Error but after 24 hours, Form10BE are not available
- Annexure B utility for GST Refund
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
