Section 217: Securities and deposits
The Companies Act, 2017 · Federal Acts · in_force
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217. Securities and deposits.—(1) Save as provided in section 84, no company or any of its officers or agents shall receive or utilise any money received as security or deposit, except in accordance with a contract in writing. (2) The money so received shall be kept in a special account maintained by a company with a scheduled bank. (3) This section shall not apply where the money received is in the nature of an advance payment for goods to be delivered or sold to an agent, dealer or sub-agent in accordance with a contract in writing.
Effective date: 2017-05-30
Related sections
Section 216: Company deemed to be a public interest company in certain circumstancesSection 218: Employees’ provident funds, contributory retirement funds and securitiesSection 215: Liability for undesired activities of the shareholdersSection 219: Penalty for contravention of section 217 or 218Section 214: Contracts by agents of company in which company is undisclosed principalSection 220: Books of account, to be kept by company
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