the much awaited relief to private limited companies

The much awaited relief to Private Limited Companies announced by Ministry of Corporate Affairs: Private Limited Company can accept unsecured loans from Directors and their Relatives, provided that the Director or Relative of the Director furnishes a declaration in writing that the amount is not being given out of funds acquired by borrowing or accepting Loans or Deposits from others.

In simple words, these funds should NOT be from loans or borrowed funds. These should be from OWN SOURCES.