Any Company wether a Private or A Public can surely borrow Loan from its Directors (even they are shareholders alongwith being director), but subject to 1.a written declaration from directors that the money they are lending are not borrowed funds, and they themself owe those funds, 2. limit under 180(1)(c) 3. they must be directors when the loan is provided.
Any loans from Directors is exempted from category of deposits, otherwise loans have been included in category of deposits and sections attracting to deposits i.e. 73 onwards needs to be complied with.
Note. Rules on Acceptance of Deposits provides in detail definition of deposit where loans from directors is exempted.
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