Sec. 77 - Purchase by company of its own shares by way of loan to employees - Board Resolution;

Sec. 77 - Purchase by company of its own shares by way of loan to employees - Board Resolution;

RESOLVED that a sum of Rs. ………… (Rupees …………) only be given as loan to the bona fide employees, including managing director and whole-time director, of the company to facilitate them to purchase/subscribe to the fully paid up equity shares of the company and to be held by each of them by way of beneficial ownership, in accordance with the `Employees’ CAPITAL PARTICIPATION SCHEME’ approved by the Board vide Resolution dated …………

RESOLVED further that the loan granted to each of the employees shall not exceed the amount of his/her salary or wages for a period of six months.