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Section 185 of company act 2017

Pvt ltd 340 views 2 replies

by virtue of Company Act, 2017- Section 185, a private limited company can give loan to its MD / WTD.

A special resolution is required to approve the loan and that has to be filed by MGT 14.

My query is whether resolution filing by MGT 14 is mandatory for all private limited companies?

 

Replies (2)

All special resolutions have to be filed in MGT-14, whether it be a private or public company.

185 is not applicable for private companies by exemption not dated 06/2015 ,subject to certain conditions

a. No body corporate is member
b.Loan from banks/fi is <2x of paid up capital or 50 cr
c.No default in repayment of loan


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