Book Debts - Section 185 of the Com. Act, 2013!!

[Deepesh Nayak]

Good morning friends,

What does exactly means by the terms "Including any loan represented by a book debt" as provided in the section 185 of the Companies Act, 2013.??

Please suggest.....

Regards
Deepesh

[Deepesh Nayak]

.... Kindly also suggest what would be the status of existing loans already provided by the Company.??

Regards,
Deepesh

Thanking you,

*CS Deepesh Kumar Nayak*
 Company Secretary
 *Mob. 097134-80215*
*csdeepe...@gmail.com*

--
--
************************************************
Mail your comments, feedback and suggestions on CSMysore to Moderator: datta...@gmail.com and Manager: vivekhe...@gmail.com
---
You received this message because you are subscribed to the Google Groups "CSMysore" group.
To unsubscribe from this group and stop receiving emails from it, send an email to csmysore+u...@googlegroups.com.
For more options, visit https://groups.google.com/groups/opt_out.

[Bhavani Prasad]

Dear Deepesh

Under Sec 185 of Companies Act, 2013, loan includes any loan represented by a book debt. 

This clause appears to be very dangerous as any book debt in the books of the company, in the name of any Director or any other person in whom the Director is interested will be treated as a loan.  Hence, a company can’t make "credit sales" or can’t accept any contract or provide any service on credit basis to any person as more elucidated in Section 185.

Existing loans already provided by the company as on 12th Sep 2013 are not affected by the above provisions.However the same shall be renewed and repaid on due date.

Learned members views are solicited.

Regards

CS Bhavani Prasad C N
Company Secretary
098665 19059

[Deepesh Nayak]

Thanks you so much sir for such a prompt and responsive attention.

Regards,
Deepesh

Thanking you,

*CS Deepesh Kumar Nayak*
 Company Secretary
 *Mob. 097134-80215*
*csdeepe...@gmail.com*

[CS Ankit Misra]

I second views of Mr. Bhavani Prasad.

regards,

CS ANKIT MISRA

KANPUR

8009968692

 Please do not print this email unless absolutely necessary

[mgra...@gmail.com]

Book Debts can be any amount due from Director. Suppose, a petrol bunk or gas company or ice cream company or Cig or PAN company sells to director even on market price and collect the money once a month for sales made on daily basis to the director, there will be outstanding in the books of the company on 29th or 30th day assuming the director is disciplined person who clears the debt on dotted date. Any outstanding amounts to book-debt:)

Gopalrathnam-CS  

[mgra...@gmail.com]

Book Debts can be any amount due from Director. Suppose, a petrol bunk or gas company or ice cream company or Cig or PAN company sells to director even on market price and collect the money once a month for sales made on daily basis to the director, there will be outstanding in the books of the company on 29th or 30th day assuming the director is disciplined person who clears the debt on dotted date. Any outstanding amounts to book-debt:)

Gopalrathnam-CS  

On Monday, December 16, 2013 11:06:32 AM UTC+5:30, Deepesh Nayak wrote:

[Deepesh Nayak]

Thanks you so much sir for such a clarification. Its really useful for us to understand the the terms "books debts" in deep.

Regards,
Deepesh

Thanking you,

*CS Deepesh Kumar Nayak*
 Company Secretary
 *Mob. 097134-80215*
*csdeepe...@gmail.com*