Indus Securities Ltd. has been making several investments in companies but is not aware as to how the investments have to be recorded in its books. As a Company Secretary, advise the company the procedures to be followed

Section 187(1) of the Act provides that all investments made or held by a company in any property, security or other assets shall be made and held by in its own name. A company may, however, hold any shares in its subsidiary company in the name of any nominee of the company, if it is necessary to ensure the number of members of the subsidiary company is not reduced below the statutory limit. Where any securities in which investments have been made by a company are not held by in its own name, the company shall maintain a register containing such particulars as prescribed under rule 14 of Companies (Meetings of Board and its Powers) Rules, 2014. Check whether: A register of investment is maintained as per Form MBP 3, in accordance with Companies (Meetings of Board and its Powers) Rules, 2014. The entries in the register are made chronologically, the particulars of investments in shares or other securities beneficially held by the company but which are not held in its own name are to be entered. The company has also recorded the reasons for not holding the investments in its own name and the relationship or contract under which the investment is held in the name of any other person. The company has also recorded when such investments are held in a third party's name for the time being or otherwise. The register is maintained at the registered office of the company and is preserved permanently. The custody of the register is with company secretary of the company or if there is no company secretary, any director or any other officer authorised by the Board for the purpose. The entries in the register are authenticated by the company secretary of the company or by any other person authorised by the Board for the purpose.