Query on sec 314

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Hii I have a query regarding Sec 314:-

A Pvt Ltd company has taken loan from  Mr. X, spouse of one of the director of the company on which Company is paying Rs.15000/- p.m. as interest to Mr. X.

Will it be covered u/s 314 of the Companies Act 1956.

Can anyone pls guide me on this???

Its kind of urgent!!!

Thanks in advance yes

Replies (2)
point.no.1 to fall under the ambit of s.314, the person shud be a director or employed under the company. point.no.2 the criteria mentioned in s.314 is remuneration or monthly payment. so, to conclude, * the spouse of dir. is not a dir in the company, nor employed under the company. so, he cannot be covered under s.314 ** if at all, for suppose, even if he was covered under s.314, if the monthly pay is less than 50000rs, s.314 need not be complied. --S @ T#06 @ M--
point.no.1 to fall under the ambit of s.314, the person shud be a director or employed under the company. point.no.2 the criteria mentioned in s.314 is remuneration or monthly payment. so, to conclude, * the spouse of dir. is not a dir in the company, nor employed under the company. so, he cannot be covered under s.314 ** if at all, for suppose, even if he was covered under s.314, if the monthly pay is less than 50000rs, s.314 need not be complied. --S @ T#06 @ M--


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