Section 7(c) in The Companies (Temporary Restrictions On Dividends) Act, 1974
(c)grant any lo- an to any shareholder of the company: Provided that nothing in clause (c) shall apply to a company which is declared by the Central Government under sub- section (1) of section 620A of the Companies Act, 1956 , (1 of 1956 ) to be a Nidhi or Mutual Benefit Society.
