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Unsecured loan from promoters

anand (trainee) (67 Points)

09 March 2017

under which section of companies act 2013 says about unsecured loan from promoters

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Jatin Bajaj (CS) (2930 Points)
Replied 14 March 2017

as per section 73 of the Companies act 2013 , Read with Companies Deposit Rules, a private Company can accept upto the amount from promoter upto 100% of the agregate of the paid up share capital and free reserves.

but for public company other than the eligible company a Company can accept the deposit upto 35% of the paid up share capital , free reserves and securities premium account of the Company.

eligible company can accept upto 10% of the agregate paid up share capital , free reserves and securities premium of the company

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Ravi Kiran Vustela (Knowledge Seeker) (1353 Points)
Replied 14 March 2017

read RULE 2(1)(C)(XIII) of chapter VII

any amount brought in by the promoters of the company by way of unsecured loan in pursuance of the stipulation of any lending financial institution or a bank subject to fulfillment of the following conditions, namely:-
(a) the loan is brought in pursuance of the stipulation imposed by the lending institutions on the promoters to contribute such finance;
(b) the loan is provided by the promoters themselves or by their relatives or by both; and
(c) the exemption under this sub-clause shall be available only till the loans of financial institution or bank are repaid and not thereafter

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Ravi Kiran Vustela (Knowledge Seeker) (1353 Points)
Replied 14 March 2017

as per my above comment.... if the unsecured loan is taken for the above purposes.. it is outside the AMBIT of Deposit rules.... otherwise you have to follow Jatin Bajaj bhai comment..........
and it is a loan. so you need to follow with section 180(1)(c) too...

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