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Inter-Corporate Loan / Investment (S.186)

Loan/investment exceeding 60% of paid-up capital + free reserves: Board + SR, maintain register

5 steps~104 days start to finishfiles MGT-14files MBP-2
If it’s filed late

MCA charges additional fees that rise with the delay, up to 12 times the normal filing fee. OnCompliance tracks the date and warns you before it costs anything.

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The steps, in order

1

Board Approval

Board approves the loan/guarantee/investment.

within 7 days
2

Pass SR (if exceeding limit)

SR required if aggregate exceeds 60% of paid-up capital + free reserves or 100% of free reserves.

within 30 days
3

File MGT-14

File SR with ROC.

within 30 days · files MGT-14
4

File MBP-2 (Particulars of Loan)

Register loan details and file MBP-2.

within 30 days · files MBP-2
5

Update Register of Investments

Maintain register of loans/guarantees/investments per S.186.

within 7 days
  • Register of Investments updated

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