Q. special resolution where company borrowed from its directors and shareholders more than its capital and free reserve.

Question

A private limited company borrowed from its directors and shareholders more than its capital reserves and paid up capital, does it required to pass a special resolution and to file special resolution with MCA.

If yes, and company has not filed the special resolution then what are the consequences?

Answer 1

W.e.f. 5th June 2015... through private company exemption notification... s. 180 is not applicable to private companies... hence SR not required