loan from holding co.

Any amount received from a company by any other company will not be treated as deposit as per Companies (Acceptance of Deposits) Rules. So amount received by a subsidiary company from a holding company will not be covered under Section 58A of the Companies Act.

Absolutely, "deposits" does not include loans / deposits from the holding company. However, where subsidiary is not a wholly owned subsidiary the lending company has to comply with the requirements of section 372-A " Intercorporate Loans and Investments".

Inter-corporate deposits are exempt despoits within the meaning of Rule 2 of the Companies (Acceptance of Despoits) Rules, 1975. Therefore, section 58A does not apply when a loan is given by holding company to subsidiary company but section 372 A will be applicable unless subsidiary is a whololoy owned subsidiary. For any further query write to me at tayalsir @ rediffmail.com