In a Private Company the Director's ledger is showing Debit balance clearly indicating Contravention of Section 185 of Companies act 2013.
What are the consequences ?
Menu
Section 185 of companies act 2013
Replies (2)
Many experts are there right. Someone kindly reply
Section 185 will appilcable to Pvt company if they satisfy the below mentioned conditions...
1) body corporate has invested in capital of Pvt company.or
2) barrowings from banks or financial institutions exceed twice the paid up capital or 50 crores whichever is lower.or
3) company had defaulted in repaying the barrowings as on the date of transaction.
if company has satisfied the any one of above conditions then section 185 will apply for thos pvt companies..
consequences of contravention of section are for company: fine of amount not less than 5lakhs which may extend to 25 lakhs..
for Director':fine of not less than 5lakhs and which may extend up to 25 lakhs and impresionment of six months or both..
thanks
Dinesh Reddy
1) body corporate has invested in capital of Pvt company.or
2) barrowings from banks or financial institutions exceed twice the paid up capital or 50 crores whichever is lower.or
3) company had defaulted in repaying the barrowings as on the date of transaction.
if company has satisfied the any one of above conditions then section 185 will apply for thos pvt companies..
consequences of contravention of section are for company: fine of amount not less than 5lakhs which may extend to 25 lakhs..
for Director':fine of not less than 5lakhs and which may extend up to 25 lakhs and impresionment of six months or both..
thanks
Dinesh Reddy
Recent Topics :
- Financial statements for non corporate entities
- Hi experts need some help
- Is SAP FICO a good career option for finance and a
- Direct Cost booking
- TDS on Property Purchase Paid
- Cash Purchase Above ₹10,000, ITR/40A(3) Trea
- TDS on dividend to non resident shareholders
- Best CA Inter classes in Laxmi Nagar for Group 1?
- Gst refund
- Compliance under Society Act 1860
Related Topics :
CAclubindia
