Loan From Director

Hold a Board Meeting and record the transactions viz., taking and repaying of loan from director. The director should make a disclosure u/s.299 of the Companies Act, 1956 and entries must be made in the Register maintained u/s.301. Ensure that the interest on the loan is reasonable.

Hello!

I agreed, just hold the BM and pass the necessary resolution regarding to loan from directors.......ensure the compliances as notifies above.................

Regards

Nidhi

Hi,

apart from the procedure stated herein above by the other experts, please also follow the provisions stated in the proviso to the Rule 2(b)(ix) of The Companies (Acceptance of Deposits) Rules, 1975, which is as under:

"Provided that the director, relative of a director or member, as the case may be, from whom money is received, furnishes to the company at the time of giving the money, a declaration in writing to the effect that the amount is not being given out of funds acquired by him by borrowing or accepting from others"

best regards

CS Ashwini Kumar

Thanks Ashwini.

Originally posted by : cs ashwini kumar
	Hi, apart from the procedure stated herein above by the other experts, please also follow the provisions stated in the proviso to the Rule 2(b)(ix) of The Companies (Acceptance of Deposits) Rules, 1975, which is as under: "Provided that the director, relative of a director or member, as the case may be, from whom money is received, furnishes to the company at the time of giving the money, a declaration in writing to the effect that the amount is not being given out of funds acquired by him by borrowing or accepting from others" best regards CS Ashwini Kumar

 Hi Ashwini,

I guess Rule 2(b)(ix) of the Companies ( Acceptance of Deposits) Rules 1975, is applicable only to private ltd and not to public limited. Here  Prabhu's  case is of public limited company. so the rule may not be applicable.

 correct me if i am wrong.                regards - Santosh Shah

Dear Mr. Santosh Shah,

Request you to go through the correct Rules on acceptance of deposits [ please refere "Companies (Acceptance of Deposits) (Amendment) Rules, 2004, w.e.f. 12-3-2004 vide GSR 189(E), dated 12-3-2004"]

Best Regards

CS Ashwini Kumar

Originally posted by : cs ashwini kumar
	Dear Mr. Santosh Shah, Request you to go through the correct Rules on acceptance of deposits [ please refere "Companies (Acceptance of Deposits) (Amendment) Rules, 2004, w.e.f. 12-3-2004 vide GSR 189(E), dated 12-3-2004"] Best Regards CS Ashwini Kumar

 Thank you Mr. Ashwini for correcting me. Have a good day.

regards

Santosh Shah