Section 297

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Hi friends,

A Private ltd company with a paid up capital of less than 1 crore, making sales and purchase of Goods with 2 partnership firms and 4 private limited companies in the same management. Out of the 4 private limited companies 1 pvt company has capital more than 1 crore.

TIll date no resolution has been passed and approval was received.

Kindly provide if you have any resolution format and also advise me whether Central Government approval is required for the company with more than 1 crores.

Regards

Vani.A

Replies (5)

no CG approval is reqd.

Yes, CG approval is required for companies having paid up cap of rs. 1 crore or more.

Companies having less than Rs. 1 crore capital has to pass a BR for consent of BOD.

Where PUC of the company less than 1 crore -prior approval of BOD required

However Incase of necessity  Co. can puchase or sale without the approval of BOD,

Provided that same approved with in 3 month after that transaction.

Such contract is voidable at the option of Board

 

 

Specimen of BR is attached

Agree with CS.Shridhi Jain.

Yes, CG approval is essential to validate the transactions for the Company whose paid up capital is more than 10 Millions, otherwise it may go into default and require tobe compounded u/s 621A.

 

CS Nilesh Vitekar


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