Section 373 of the Companies Act, 2013
Section 373 of the Companies Act, 2013 — Power of Central Government to make rules
📌 Note: Section 373 has been omitted by the Companies (Amendment) Act, 2017, with effect from 7 May 2018.
🕰️ Before Omission – Summary of Section 373 (Historical Reference)
Section 373 empowered the Central Government to make rules regarding inter-corporate loans and investments under Section 372A of the Companies Act, 1956.
However, under the Companies Act, 2013:
The comprehensive provisions relating to loans, guarantees, securities, and investments by companies are now covered under Section 186.
Hence, Section 373 became redundant and was removed through the 2017 amendment.
✅ Current Relevant Provision
For matters related to inter-corporate loans and investments, refer to:
🔹 Section 186 of the Companies Act, 2013: "Loan and investment by company"
It covers:
Limits on loans/investments
Approval requirements (Board or shareholders)
Penalties for contravention
Disclosure norms
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