Loans from Directors

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Rishi Vyas (Querist)
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11 February 2009 What are the various provisions of IT Act and Companies Act which are applicable to Loans (Not Deposits) from Directors

Neha Singhi

Neha Singhi (Expert)
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11 February 2009 Section 295 of Companies Act governs loans from Directors.

Rgds
Neha
neha@nehasinghi.com
(www.nehasinghi.com)

Rishi Vyas

Rishi Vyas (Querist)
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11 February 2009 Madam

Thanks for the reply.

But I think Sec 295 relates to loans TO directors and not FROM directors.

Anyway I have a further query.

If a Public Ltd. Co, borrows from its directors then is there any limit prescribed for the interest to be paid to directors by the company.

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