Board ResolutionBoardSection 179(3)(d)Section 180(1)(c)

Borrowings

All companies. The Board may borrow money within limits approved by shareholders. Total borrowings (other than temporary loans) cannot exceed the paid-up capital, share premium, and free reserves of the Company without a Special Resolution by shareholders.

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If total borrowings exceed the aggregate of paid-up capital, share premium, and free reserves, a Special Resolution under Section 180(1)(c) is required. Creation of charge on assets requires filing Form CHG-1 within 30 days.

Section 180(1)(c), Companies Act 2013

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