CG approval u/s 297

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Rajesh Sodhi (Querist)
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19 October 2009 1. Takeover of business which includes land, building, plant & machinery, other fixed assets, goodwill of partnership firm in which Director of A Ltd. is partner by A Ltd. and the same way of proprietorship concern.

2. Purchase of Brand name registered in the name of Director of A Ltd. by A Ltd.

Applicability of section 297 of the Companies Act

CA. B.SRINIVASULU

CA. B.SRINIVASULU (Expert)
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19 October 2009 It depends on the paid up capital of the company.

If the paid up capital is less than one crore then Board's approval is required.

If the paid up capital is more than one crore then permission is required from Regional director.

In above case section 297 is attracted and depending on your paid up capital you have to decide.