Companies Act, 1990
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Inter-company loans in same group. |
34.—Where a company is a member of a group of companies, consisting of a holding company and its subsidiaries, section 31 shall not prohibit that company from— | |
(a) making a loan or quasi-loan to another member of that group; or | ||
(b) entering into a guarantee or providing any security in connection with a loan or quasi-loan made by any person to another member of the group; | ||
by reason only that a director of one member of the group is connected with another. |