The following information are available for Sidhana Ltd. : Paid up Equity Share Capital (8 crore equity shares of ₹10 each) - ₹80 Crores General Reserve - ₹60 Crores Share Premium - ₹40 Crores Secured Loans (Including ca
CS Professional · Advanced Company Law and Practice · PYQS · December 2017
The following information are available for Sidhana Ltd. : Paid up Equity Share Capital (8 crore equity shares of ₹10 each) - ₹80 Crores General Reserve - ₹60 Crores Share Premium - ₹40 Crores Secured Loans (Including cash credit limit of ₹50 Crores from Unity Bank) - ₹65 Crores (ii) Can Sidhana Ltd. borrow by way of a term loan of ₹200 Crores from MM Bank ?
Answer & Explanation:
Sidhana Ltd. can borrow by way of term loan upto ₹125 Crores from MM Bank by passing a board resolution. However, it can borrow ₹200 Crores by way of a term loan from MM Bank subject to the passing of special resolution by the members of the company as required under section 180(1)(c) of the Companies Act, 2013.
Topics: Loans and Borrowings
Related Questions in this Topic
- SKD an employee of Moreh Ltd. met with an accident and died. The accident occurred when SKD was on Company's duty. He he...
- Mr. M, a member, appointed Mr. P as his proxy for the annual general meeting of a company in the form as set out in Form...
- The directors of XYZ Limited are responsible for calling a general meeting and having failed to call such a meeting and ...
- Audit committee has to review certain information mandatorily, what are these items ?
- State the provisions of Australian Corporation Law in respect of Auditors.