Dear Members,
As per SEBI Notification No. 30/2014, a company has to take prior approval from board for EACH TRANSACTIONS entered with any related party. There is no expressed relaxation for transactions of ordinary course of business or transaction entered on Arm's Length.
My question is, if we regularly sale or purchase raw material to or from a related party in our ordinary course of business as well as on Arm's Length basis. whether we have to take approval of board before each transactions.
If so, it will be totally immpractical.
Please share your views on this regard.
Thanks
CA Lokesh Tiwari
CAclubindia
