Inter-corporate loan by Pvt Ltd company

Pvt ltd 193 views 3 replies

A company has given inter-corporate loan above the limit specified by sec 186(2) of companies Act, but has not filed special resolution (MGT-14) with MCA.

What are the reporting liabilities on auditor in such case (CARO not applicable) - Does he need to report it anywhere?

What if company now files it with MCA, what would be penalty for 8 months of delay.

Can a request for condonation of delay be filed? 

Replies (3)
186 is not applicable on complying certain criteria on private company, however , if company exceed the threshold and has to comply 186 then delay in filing of MGT 14 will attract penal provision which is min 1 Lacs upto 25 lacs of Max .capping on company and Min.Rs. 50,000 to 5 Lacs Max on Officer in. default , with 500 Rs each day of default ,I'm not sure but condonation in CG-1 to be made with all facts

Disclaimer - For Educational Purpose only ,not to be construe any kind of legal or technical advice or opinion.

What is auditor's liability in this respect.. Where he needs to put this in his report.

Any suggestions for this?


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