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Letter Of Guarantee By Directors Negotiable Instruments Act 1340 - Legal Draft

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Category : Negotiable Instruments Act

Letter of Guarantee by Directors
To,
The Manager,
B
ank of ...
Branch office   
Sir.
Your bank has advanced the loan of Rs     to M/s. ADC Co. Pvt. Ltd.
(or has granted cash credit facility] to the extent to Rs         and of which
company we the undersigned persons are Directors.
In consideration of your granting the said loan/cash credit facility, to the said company we the undersigned in our personal capacity, jointly and severally guarantee the repayment of the said loan amount (or amount due and payable at the foot of cash credit account at the date of demand by you] with interest thereon as agreed by said company and agree to pay the same on demand, in the event of the company making default in payment thereof as and when demanded by you.

Dated this .... day of   
Sd/     
Sd/     
Sd /

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