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[Cites 0, Cited by 0] [Section 371] [Entire Act]

Union of India - Subsection

Section 371(2) in The Companies Act, 1956

(2)All persons who are knowingly parties to any such contravention shall be liable, jointly and severally, to the lending company for the repayment of the loan, or for making good the sum which the lending company may have been called upon to pay in virtue of the guarantee given or the security provided by such company.