Suppose a company has advanced funds to its wholly owned subsidiary and subsequently disposed off its share holding, what is the regulations to be compled under Sec 372A of companies act!! any time limit?
Vijai (Articled Assistant) (26 Points)
02 January 2012Suppose a company has advanced funds to its wholly owned subsidiary and subsequently disposed off its share holding, what is the regulations to be compled under Sec 372A of companies act!! any time limit?
nidhigoel89
(Company Secretary )
(594 Points)
Replied 02 January 2012
Hello,
Prime Facie of facts i would suggest that in ur case it would not apply as at the time of making loan ur company holding status of Holding subsidiary company.
So i dont think sec 372 A will apply irrespective of the fact that in future it looses its status of holding subsidiary companies.
But in future company will make some loan or investment then u need to comply with sec 372A.
Contrary views are welcomed.
Nidhi
CS Vijay Daxini
(At Practice)
(732 Points)
Replied 02 January 2012
Section 372a of companies act is not applicable to a transactions btwn holding and subsidiary company.........others view solicited
CS Vijay Daxini
(At Practice)
(732 Points)
Replied 02 January 2012
Section 372a of companies act is not applicable to a transactions btwn holding and subsidiary company.........others view solicited
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