Corporate sharing of the day-9_For PCC

PUBLIC DEPOSITS

Under Section-58A (2) no company shall invite any deposit unless the company is not in default in the payment of any deposit/part thereof and any interest thereupon in accordance with the terms and conditions of such deposits. Since, section prohibits only to invite deposits in cases of defaults. Further Company Law Board (CLB) in such cases may allow company to accept deposits as restriction is only on invitation.