Paragraph 10 Transactions requiring members’ approval: loans, quasi-loans and credit transactions (ss.197 to 214)
This paragraph applies where before 1st October 2007 a company has done anything—
pursuant to section 337(1) or (2) of the 1985 Act or Article 345(1) or (2) of the 1986 Order (funding of director’s expenditure on duty to company), and
on the condition mentioned in section 337(3)(b) of that Act or Article 345(3)(b) of that Order (condition requiring repayment of loan etc if approval of company in general meeting not given within six months).
If that condition has not been satisfied before that date, it continues to apply notwithstanding the repeal of that section or that Article, but subject as follows.
In the case of a private company that by reason of the repeal of section 366 of the 1985 Act or Article 374 of the 1986 Order with effect from that date ceases to be required to hold an annual general meeting, the condition shall be read as if it provided—
that the approval of the company is required on or before the last date on which the company would have been required to hold an annual general meeting but for the repeal, and
that the loan is to be repaid within six months from that date if such approval is not forthcoming.