Acceptance of loan by a Company
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
04 August 2010
Dear sir
Can a pvt ltd co which is not a subsidiary of a public ltd co accept loan from any person other than the shareholders of the co?
Can a pvt ltd co which is not a subsidiary of a public ltd co accept loan from any person other than the shareholders of the co?
04 August 2010
Yes. It can accept loan from any person other than the shareholders of the company. prohibition is only on invitation or acceptance of deposits from persons other than its members, directors or their relatives & invitation to the public to subscribe for any shares in, or debentures of, the company.
Message likes :
1 times
07 December 2010
Loan can be taken from another company. But any loan taken by a private company from persons other than director, relative of director or member will amount to deposit attracting Companies Acceptance of Deposit Rules, 1975.
Experts view solicited.
Experts view solicited.
11 January 2011
In law there is a difference between "loan" and a "deposit". You can accept "loan" without attracting provisions of Section 58A of the Companies Act 1956. I have written an article years back in "SEBI AND CORPORATE LAWS" published by Taxmann about Loan V Deposit. You can search "SIVADAS CHETTOOR" in google and you may get the aricle. Please go through it if you wish to know more about the law in this respect.
siva208@yahoo.com
siva208@yahoo.com
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Where to show the RCM on Rent paid to unregistered landlord
- Is Aadhar PAN linking required for opening bank account?
- Applicability
- CPC Processing IT Return for AY 2023-24 without recognizing the Taxation Option under New Regime
- Offsetting interest income against derivative trading losses
- RCM - commercial rent paid to URP under GST
- TDS NUMBER SURRENDER
- Legal heir raised refund , but refund issued to the closed account of deceased.
- Gst Sales of FY 2023-24
- GSTR-3B - Do I file nil when there is no sale but I've bought raw materials
- Whether still royalty
- 20% OF DEMAND PAYMENT IN APPEAL
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding Resignation by Auditor from Pvt. Ltd.
Trending Online Classes
-
Excel Mastery Program
CA Rishabh Pugalia
CAclubindia
