Hi Friends,
For accepting loan from directors with option to convert to equity, whether special resolution is required to be passed at every time of accepting loan?
Thanks in advance
Anitha.S
Anitha (Articles) (121 Points)
16 November 2015Hi Friends,
For accepting loan from directors with option to convert to equity, whether special resolution is required to be passed at every time of accepting loan?
Thanks in advance
Anitha.S
Pavithra
(Student CA Final )
(69 Points)
Replied 19 November 2015
Dear Anitha,
On receipt of convertible loan from directors, you should pass special resolution every time because you cannot distinguish the nature of loan if spl resolution is not passed.