Is it improper for an officer or director of a private LLC to take a personal loan from an investor in the corporation?

In: Business and Finance

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Per NASD and the SEC an act doesn't have to be illegal to be improper. Anytime there can be the insinuation of conflict of interest it is improper. In this case it is improper unless there existed a prior documented relationship that supports the situation of a personal loan between the two.

First answer by KaraRae278. Last edit by Port2348. Contributor trust: 9 [recommend contributor]. Question popularity: 36 [recommend question]

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