Section 6 in The Preference Shares (Regulation Of Dividends) Act, 1960
6. Act not to apply to participating preference dividends .-Nothing contained in [section 3 or section 4] [ Substituted by Act 10 of 1965, Section 72 for " such deduction shall in no case exceed twenty five per cent of the stipulated dividend" (w.r.e.f. 1.4.1965) ] shall apply to such part of any dividend on preference shares as is referred to in clause (i) of the Explanation to sub-section (1) of section 85 of the Companies Act.
