loan from directors and relative of directors

no limit just a declaration from directors that they have not given loan out of borrowed funds and pass a resolution under section 189 read with section 179.

Agreed with @ Kanj Goel

If it is a public company, you have to comply with Sec.180(1)(c) for limit on borrowing.  Further, loan from relatives of directors can be taken in case of private company [Ref.Rule 2(1)(c)(viii) of Deposit Rules].

 

 

take declaration from directors that they have not given loan out of borrowed funds, pass board resolutions and file MGT-14 of Board resolution as per section 179(3) and if loan amount exceeds paid up capital+free reserves+ security premium account then also pass special resolution and file MGT -14 of special resolution as per section 180 (1) (c) of companies act 2013

Prachi filing of MGT-14 has been exempted please read exemptions to private companies.

yes in case of private company there is no need to pass special resolution hence filing of mgt-14 of special resolution is not applicable but we have to file MGT-14 of board resolution as per section 179(3)

Prachi ji, There is no need to file MGT-14 by private companies for matters listed in sec 179(3)

Kanj ji, why this reference to sec 189? is it a RPT under sec 188(1)? if so which sub clause of sec 188(1) ?

Can you kindly give the draft resolution for this?

Regards,

Geetha