Loan by huf member

Yes he can give loan to employee

1. Partnership firm and HUF have very restrictions with respect to transactions, unlike companies which are governed by Companies Act. 
2. The above amount of loan provided by your boss (being a partner and member ) is not in his capacity as a partner or a member of HUF but in her Individual capacity. So, he is free as an individual to provide loan to any person as per his wish and interest on the same will be based on his discretion. 
3. So the possible question of conflicts of interest unlike in companies will not arise in here. There is nothing wrong in providing loan to another person (the loan was provided to him not in his capacity as an employee) in his/her individual capacity and charging of interest or not is upon the person who is providing the loan. 
Please correct me if the above solution has an alternative view. 

4. Even in the above case if he provides loan to the employee in the capacity of HUF the above answer will not under a change.

Thank you all... Thanks for your good comments...Have a blessed day..