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Inter corporate loan section 185 & 186

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06 July 2015 can a private limited company give loan to public limited company in which the directors' relative is director or member.













07 July 2015 Yes, because there is no restriction in Section 185.
It specifically restricts giving loan to Pvt ltd company in which director or his relative is member or director. (Section does not say anything about Public company)

But if such relative holds more thab 25% holding in such public company, then loan can not be given.



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