(2)No company shall directly or indirectly —(a)give any loan to any person or other body corporate;(b)give any guarantee or provide security in connection with a loan to any other body corporate or person; and(c)acquire by way of subscription, purchase or otherwise, the securities of any other body corporate,exceeding sixty per cent. of its paid-up share capital, free reserves and securities premium account or one hundred per cent. of its free reserves and securities premium account, whichever is more.
