Approval to Board for creation of charge

 Borrowing upto Rs. 90 Crores from ……………………Bank

It was proposed to borrow upto Rs.90 Crores (Rupees Ninety Crores only) from …………………..Bank, New Delhi, outstanding at any time by way of loans, overdraft, cash credits, discount of cheques, bills, etc., or otherwise with or without security and to mortgage or charge all or any of the assets of the company in favour of the ................. Bank. It was also proposed to authorize the executive Directors of the Company do all such acts, deeds and things as may be required or considered necessary or incidental thereto.

The Board discussed in detail and passed the following resolution unanimously:

“RESOLVED THAT Mr. ................., Chairman and Managing Director,
Mr. .................and Mr. ................., Joint Managing Directors, and Ms. ................., Whole Time Director of the Company, be and are hereby severally authorised to borrow money otherwise than on debentures from ................. Bank upto a total amount of Rs.90 Crores (Rupees Ninety Crores only) outstanding at any one time by way of loans, overdraft, cash credits, discount of cheques, bills, etc., or otherwise with or without security and to mortgage or charge all or any of the assets of the company in favour of the Bank and to sign on behalf of the company any documents from time to time required by the Bank relating to or for securing any advance to the company or any liability of the company including all existing, future or contingent liabilities in such forms as may be required by the said Bankers.  The aforesaid person/s are further authorised to arrange for opening of Foreign and/or Inland letter of credit or to issue guarantees and to sign any indemnities that may be required by the Bank in connection with the Company’s business with the Bank.”

RESOLVED FURTHER THAT Mr. ................., Chairman and Managing Director, Mr. .................and Mr. ................., Joint Managing Directors, and Ms. ................., Whole Time Director of the Company, be and are hereby severally authorised to operate on all banking accounts including accounts where borrowing arrangements are made by the company such as overdraft, cash credit or any other account/s of the company with the ................. Bank and the said Bankers be and hereby authorised to honor and comply with all cheques, drafts, bills, promissory notes, acceptance, negotiable instruments, deposit receipts and other orders expressed to be drawn, accepted, endorsed, made or given on behalf of the company at any time or times by the aforesaid person/s and further the said bankers be and are amount of any dishonored notes, cheques and bills to the said account whether such hereby authorised to act on any instruction from them relating to the affairs or transactions of this company and to debit such cheques, orders, bills of exchange and notes also the account be for the time being in credit or overdrawn and to debit interest on such amount from time to time from the date of overdrawing/s up to the date overdrawing is/are cleared by the company.”

FURTHER RESOLVED THAT the above resolutions be communicated to the said Bankers and remain in force until the same is cancelled or modified by the Board of Directors by another resolution and extract whereof forwarded to the bankers by the Chairman or any one of the Directors of the company in writing.”