17 November 2011
our company is pvt.ltd.company and subsidiary of american company. our company has ecb loan from american holding company. now after exriry of 3 years our company wants to retain the loan money it means extension of ecb loan. so can company do so. and if yes i need the copy of board resolution for approval of exetension of ecb loan please guide me
19 November 2011
Dear Hiren, You can extend ECB loan period. You are also correct that Board resolution shall be required to be given to your Bankers along with Revised Form 83 along with your application. You need to adhere to all ECB guidelines. On a note of caution, ECB proceeds cannot be used for working capital, hence make sure you do not make any contravention on that part.
CAclubindia
