Can pvt ltd company give loan to llp in which it is partner

Pvt ltd 6886 views 1 replies

Can a Pvt Ltd Co give loan to LLP in which it is a partner ??

Replies (1)

As per Sec 185 - loan to director is disallowded if  llp have partner who is director of lending company.

If LLP in which loan is given no director is partner in llp then loan can be given by the company subject to sec 186 i.e within the limit of 100% free reserve or 60%of paid up capital+free reserve+security premium whichever is higher.

But loan /Capital contribution can be made by company to LLP subject to above 

 


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register