https://www.taxtmi.com/caselaws?id=101299 Advances made by one company to another were not automatically loans for purposes of section 370 of the Companies Act, 1956; their character depended on the parties' intention and the surrounding circumstances. The Court held that the statutory term "loan" had to be construed in its proper sense and not so widely as to treat every placement of money with another corporate body as a loan. On the materials before it, the amounts were not shown to be loans in the statutory sense. The petitioners were therefore entitled to relief under section 633, with protection against the alleged contravention. en-us Tue, 10 Sep 1985 00:00:00 +0530 Thu, 09 Feb 2012 12:54:40 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=101299 Advances made by one company to another were not automatically loans for purposes of section 370 of the Companies Act, 1956; their character depended on the parties' intention and the surrounding circumstances. The Court held that the statutory term "loan" had to be construed in its proper sense and not so widely as to treat every placement of money with another corporate body as a loan. On the materials before it, the amounts were not shown to be loans in the statutory sense. The petitioners were therefore entitled to relief under section 633, with protection against the alleged contravention. Case-Laws Companies Law Tue, 10 Sep 1985 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=101299