The amendment should be such that under the above circumstances, since Party C has gained more than 50% of the total votes polled, they should be treated as a majority and given the permission to form the government with the following calculation of seats:
7500 votes for 10 seats = 750 votes per seats: Party-A : 1700 /750 = 2.26 say 2 Party-B : 2100/750 = 2.80 say 3 Party-C : 3700/750 = 4.90 say 5
This given the party C 5 seats though they have won 3 seats with 3700 votes. Even though Party A won 4 seats, two seats gets reduced due to the lesser number of votes polled.
(one more way of giving benefit of more seats to the party who gets the maximum votes would be to take a total number of votes of the constituencies verses the percentage of total number of votes polled versus the total number of votes gained out of the total number of votes polled).