Loan between the companies of same management

639 views 1 replies

Members,

Can a public co. give loan to private company where one of the directors of both companies are same. In pub. co he is as WTD or MD while in private company he is one of the two directors. Sec. 370 is now not in force while sec 327A is silent about this.

Kindly explain.

Thanks

Replies (1)

Public company can give loan to private company, where directors are same subject to section 295, 299 & 372A of companies act, 1956


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register