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Inter-corporate loan

This query is : Resolved 

27 March 2016

A ltd(listed) has granted loan to B ltd(unlisted). Term of loan agreement provide 1)to have equal board members from both co on the board of B ltd and 2) A ltd. acquiring 26% in B ltd. All conditions are fulfilled

Query: can now A Ltd. further give loan to B ltd....both company were unrelated to each other before this loan agreement?

30 March 2016 Dear Sir,

as per literal interpretaion, Company will not able to give further loan because of point (e) of explanation of Section 185



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