Unsecured loan from promoter cum director

This query is : Resolved

P.C. Joshi (Querist)
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29 April 2012

1. in case of a Pvt. co. it is necessary to have a written agreement between company and its director cum promoter to obtain unsecured loan. is not a Board resolution sufficient.

members requested to share their considered views.

2. If any one can share a format of unsecured loan agrrement, that will be a great help.

regards

P.c. Joshi

CA PARTH SHAH

CA PARTH SHAH (Expert)
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29 April 2012 board resolution is enough. but porvisions of scetion 297, 299 of companies act need to be taken care of

Ajay Mishra

Ajay Mishra (Expert)
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30 April 2012 Hi,

If you are going to take unsecure loan from director cum promoter then first of all made a Memorandum of Understanding on paper or an agreement with director and send the same it will depend on both and present the same with Board Meeting for taking approval.

Regards

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C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
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06 May 2012 This cannot be treated as the resolution. It has to be approved in the Board of Directors meeting. Next who has signed the agreement is also important as in BOD meeting minimum 2 directors must be present and as Parth has correctly said the provisions of various section must be taken into consideration to treat anything as resolution.