Companies Act, 2017 — section 217

217. Securities and deposits..—(1) Save as provided in section 84, no company or any of its officers or agents shall receive or utilise any money received as security or deposit, except in accordance with a contract in writing.

(2)The money so received shall be kept in a special account maintained by a company with a scheduled bank.

(3)This section shall not apply where the money received is in the nature of an advance payment for goods to be delivered or sold to an agent, dealer or sub-agent in accordance with a contract in writing.