Dear Members.
Rule 2(b)(ix) of the deposit rules states that:
Any amount received from a person who at the time of the receipt of the amount was a director in the Company or any amount received from a relative of a director or its members from a private Company.
Provided that the director or a relative of a director or a member, as the case may be from whom the money is received, furnishes to the Company at the time of giving the money, a declaration in writing to the effect that the amount is not being given out of the funds aquired by him by borrowing or accepting from others.
Please clarify my case:
A relative of a director has given an unsecurred loan to a Private Limited Co. when he was a direcor and subsequently the Director of the Company has resigned the Company.
Now what will be the status of the Unsecurred loan that has been obtained by the Pvt. Ltd. Company.
Will that be exempt under the Defination of Deposit.?
Now the Status is that the Company has an Unsecurred loan in its books which has been borrowed from a relative of a Director who has resigned the Company since 01.04.2013.
CAclubindia
