Audit Committee resolution format for scrutiny of inter-corporate loans and investments under Section 177(4)(v), with Section 186 checks and recommendations.
“RESOLVED THAT pursuant to Section 177(4)(v) and other applicable provisions, if any, of the Companies Act, 2013 and the terms of reference of the Audit Committee, the Committee has scrutinised the statement of inter-corporate loans, guarantees, security and investments of the Company as at [●], together with the proposals for fresh transactions placed before it, and takes note of the same [without exception / subject to the observations recorded in the minutes].
RESOLVED FURTHER THAT the Committee hereby recommends to the Board the proposed [loan / guarantee / security / investment] of ₹[●] (Rupees [●] only) [to / in] [●] for approval by the Board at a meeting under Sections 179(3) and 186 of the said Act [and, where the limits under Section 186(2) are exceeded, by the members by special resolution].
RESOLVED FURTHER THAT the Company Secretary of the Company be and is hereby authorised to place the observations and recommendations of the Committee before the Board at its next meeting and to do all such acts, deeds and things as may be necessary for giving effect to this resolution.”
No rules under this Section yet.