Section 62(iii) in The Companies (Amendment) Act, 2017
(iii)for sub-section (11), the following sub-section shall be substituted, namely:—"(11) Nothing contained in this section, except sub-section (1), shall apply—(a) to any loan made, any guarantee given or any security provided or any investment made by a banking company, or an insurance company, or a housing finance company in the ordinary course of its business, or a company established with the object of and engaged in the business of financing industrial enterprises, orof providing infrastructural facilities;(b) to any investment—(i) made by an investment company;(ii) made in shares allotted in pursuance of clause (a) of sub-section (1) of section 62 or in shares allotted in pursuance of rights issues made by a body corporate;(iii) made, in respect of investment or lending activities, by a non-banking financial company registered under Chapter III-B of the Reserve Bank of India Act, 1934 and whose principal business is acquisition of securities.";(iv) in the Explanation, in clause (a), after the words "other securities" the following shall be inserted, namely:—"and a company will be deemed to be principally engaged in the business of acquisition of shares, debentures or other securities, if its assets in the form of investment in shares, debentures or other securities constitute not less than fifty per cent. of its total assets, or if its income derived from investment business constitutes not less than fifty per cent. as a proportion of its gross income.".
