Section 440A(2) of the Act provides that for the purposes of subsection (1)-
| a) |
the following persons shall be deemed to be acting in concert with one another unless the contrary is established, namely- |
| i) |
a company, its holding company, its subsidiaries, companies which are subsidiaries of its holding company and their subsidiaries, and companies of which such companies are associated companies, and for the purposes hereof ownership or control by a company of 20 per cent or more of the equity share capital of another company shall constitute the latter company the former company's associate; |
| aa) |
any of its directors or holders of its securities who are beneficial owners as referred to in section 440G(1); |
| bb) |
any company controlled by one or more of its directors; |
| cc) |
any trust of which any one or more of its directors is a beneficiary; |
| iii) |
a company with any of its pension, provident or benefit funds; |
| b) |
a security which is convertible into a voting security shall, even before its conversion, be deemed to confer those voting rights which it would confer after conversion. |
Special Investigating Units and Special Tribunals Act, 1996
