Investment by directors & shareholders with borrowed funds

Dear All,

Can a Director/Shareholder invest in a company by way of Share application from funds borrowed by them in a private limited co.

As per Deposit rules definitions 2(b) (ix)deposit means "any amount received by a private company from a person who, at the time of the receipt of the amount, was a director, relative of director or member"

Thus this covers the share application money given by Director from funds borrowed by them