Write short notes on the following: Ceiling on Investments u/s 27.

Ceiling on Investments under section 27 of Insurance Act, 1938 Any investment in other than Approved Investments is allowed up to 15% of the sum specified in Section 27, provided such investments are made with the consent of all the directors present at a Board meeting and eligible to vote, in respect of which a special notice has been given to all the Directors in India. The ceilings on investments rules are as follows: In one Banking Company or Investment Company [Section 27 A(3)] An insurance company cannot out of the Controlled fund invest or keep invested in the shares of any one banking company or investment company, an amount exceeding two and a quarter percent of the amount specified in Section 27 (or) 2% of the subscribed share capital and debentures of the Banking company or investment company concerned, whichever is less. In any Company other than Banking Company or Investment Company [Section 27A(4)] An insurance company cannot out of the controlled fund invest or keep invested in the shares of any one company other than banking or investment company, an amount exceeding two and a quarter percent of the amount specified in Section 27 (or) 10% of the subscribed share capital and debentures of the Company. In Fixed Deposits or Current deposits of Banks or Co-operative Societies Not more than 3% of the Controlled funds is allowed to be deposited in the Fixed or Current deposits with any one Banking company or any one Co-operative Society registered under the Co-operative Societies Act, 1912.