The Ministry of Corporate Affairs (MCA) has been issuing various amendments and clarifications to the Companies Act, 2013 (the Act) and the corresponding Rules to remove hardships faced by companies while implementing certain provisions of the Act.
The MCA has received a number of references seeking clarification on the applicability of section 185 and 186 of the Act relating to grant of loans and/or advances by companies to their employees.
Our First Notes summarises the important aspects arising from the general circular issued by the MCA on 10 March 2015. For the text of the circular issued by the MCA, please click here.
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