Board resolution format for accepting an unsecured loan from a director under Section 179(3)(d) and Rule 2(1)(c)(viii), with lender's declaration and DPT-3.
“RESOLVED THAT pursuant to the provisions of Sections 73 and 179(3)(d) and other applicable provisions, if any, of the Companies Act, 2013 read with Rule 2(1)(c)(viii) of the Companies (Acceptance of Deposits) Rules, 2014 and the Articles of Association of the Company, consent of the Board be and is hereby accorded to accept an unsecured loan of up to ₹[●] (Rupees [●] only) from Mr./Ms. [●], Director (DIN: [●]) [/ Mr./Ms. [●], a relative of Mr./Ms. [●], Director (private company only)], [free of interest / at interest of [●]% per annum], repayable [on demand / within [●] months], for [●].
RESOLVED FURTHER THAT the loan shall be accepted only against a declaration in writing from the lender, furnished at the time of giving the money, that the amount is not being given out of funds acquired by the lender by borrowing or accepting loans or deposits from others, and the details of the loan shall be disclosed in the Board’s report.
RESOLVED FURTHER THAT any Director (other than the lender) and/or the Company Secretary of the Company be and is hereby severally authorised to obtain the said declaration, execute the loan documents and to do all such acts, deeds and things as may be necessary for giving effect to this resolution.”