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Investing in fd by a pvt ltd company in the name of md

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28 December 2015 Can a private limited company invest in fixed deposit in the name of their Managing Director / Director??


28 December 2015 No, you can not. Please refer 187 which mandates every company to hold investment (in any property, security and other assets) in its own name.

Also, if company invest money in the name of MD/Director, then it will attract provisions of Section 185 as if you have given loan to Directors.



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