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Loan query in case of pvt ltd company

cs.silky (CS) (63 Points)

07 January 2012

Dear All

i have one query that Can a Pvt ltd company having authorised capital of Rs 10 Crore and paid up share capital of Rs 6.38 crores can take a loan of Rs 10 crores, kindly let me know whether it will be contradicting any company's section in the act if a company takes a loan and please tell what compliance is to be done in this case.

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6 Replies

Pankaj Arora (Learner) (3134 Points)
Replied 07 January 2012

I think section 370 will not applicable to private limited company unless it is a subsidy of limited company.

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(Guest)

Dear Pankaj,

Section is 372A instead of 370.

Regards

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Pankaj Arora (Learner) (3134 Points)
Replied 07 January 2012

thanks neha for correcting my view may I know difference between section 372 & 370?

cs.silky (CS) (63 Points)
Replied 07 January 2012

thanks to all...i knw sec 372 is nt applicable on pvt ltd co. so what else can be done...thn i think board resolution is enough...pls guide!!1

(Guest)

Section 370 does not apply after commencement of Companies Amendment Act 1999. Check 370 (6) in this regard.

Section 372A is not applicable on private companies.

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K.K.K. (Professional) (131 Points)
Replied 07 January 2012

Originally posted by : Neha Jain
	Section 370 does not apply after commencement of Companies Amendment Act 1999. Check 370 (6) in this regard. Section 372A is not applicable on private companies.