Company Secretaries and Corporate Professionals

When we request our Bank through request letter to not clear any particular Cheque from our bank account then it is called Cheque stop payment.  There may be any reason as mentioned below to make the cheque stop payment request:- Cheque misplaced (Safety measure as cheque may be misused)  Wrong cheque issued (Clerical mistake)  Don't want to make the payment/transfer Insufficient fund in the account (if cheque not stopped the due to insufficient balance in account cheque will be bounced) Any other reason For ready reference draft format of the cheque stop payment letter is here:- To                                                                 ...

Loan to Directors, etc. (1) Save as otherwise provided in this Act, no Company shall, directly or indirectly, advance any loan, including any loan represented by a book debt, to any of its directors or to any other person in whom the director is interested or give any guarantee or provide any security in connection with any loan taken by him or such other person:- Provided that nothing contained in this sub-section shall apply to-  (a) the giving of any loan to a managing or whole-time director-       (i) as a part of the conditions of service extended by the Company to all its employees; or       (ii) pursuant to any scheme approved by the members by a special resolution; or (b) a Company which in the ordinary  course of its business provides loans or  gives guarantees or securities for the due repayment of any loan and in respect of such  loans an interest is charged at a rate not less than the bank rate declared by the...