Applicability of sec 295

sakshi (CS) (261 Points)

03 July 2012  

Dear All

 

There are two Companies A & B and both are private companeis subsidiary of Public COmpanies. A had given loan to B and since there were no common directors, section 295 was not applicable.

 

But now one director is about to be appointed in CO. b, who is also a director in Co A, my query is , whetehr now Sec 295 will get attracted?

 

Regards