CAN ANYONE CAN GUID ME IN FOLLOWING AREAS ?
1) WHAT IS THE LOAN GIVEN TO DIRECTOR BEFORE THE COMPANY CONVERTED IN TO PUBLIC AND THIS AMOUNT IS OUTSTANDING ?
2) WHAT IS THE LOAN GIVEN TO DIRECTOR BEFORE THE COMPANY CONVERTED IN TO PUBLIC AND THIS AMOUNT IS NOT OUTSTANDING ?
3) WHT IS LOAN GIVEN TO DIRECTOR DURING THE YEAR AFTER CONVERTED IN TO PUBLIC CO. BUT NO OUTSTANDING AT YEAR END.
4) KINDLY EXPLAIN THE MAXIMUM AMOUNT OF HOUSING LOAN LOAN AND CONDITION FOR HOUSING LOAN GIVEN TO DIRECTOR. ?
5) WHAT WILL BE THE INTEREST RATE FOR HOUSING LOAN ?
IT WILL BE BETTER IF YOU MENTION THE CLAUSE OF SECTION AND SUPPORTING REFERENCE
Hi firstly I would lyk to inform that section 295 does not embark upon the outstanding and liablty in respect of loan as on of balance sheet date.
Reply 1 The section 295 is applied to only the public company and the public company is only liable to contravention of section 295 only if the at the time of making the loan the company is a public limited company .
Reply 2 The section 295 has no retrospective effect and hence the loan given and subsequently the private company (as the section 295 does not apply to private company )is converted into the public company has no impication and consequences.
Reply 3 same as above
Reply4 The housing loan given to director is not falled in the ambit of section 295.
Reply 5: The interest on loan must not be prejudicial to the interest of company and the rate should as prevailing in the market.
Regards
Sandeep Thakur