Approval of scheme by Supervisor

(1) Before a scheme for the transfer or amalgamation of the insurance business of a company is approved by the (a) certified copies of the assets and liabilities of the companies engaged in the transfer or amalgamation shall be submitted to the (b) a copy of the scheme together with copies of the actuarial and other reports, if any, upon which the scheme was founded, shall be submitted to the Supervisor; (c) copies of the scheme and of every report submitted to the Supervisor or summaries of the scheme and reports approved by the Supervisor shall, unless the Supervisor otherwise directs, be transmitted to every policyholder affected by the scheme by the companies engaged in the transfer or amalgamation, at least fifteen days before the application for approval of the scheme is to be heard; (d) notice of the intention to make the application (the notice to contain such particulars as may be prescribed by the Supervisor) shall, not less than one month after the copy of the scheme is submitted to the Supervisor, be published in the Gazette and in such local newspapers as may be approved by the Supervisor; 168 (e) the scheme shall be open for inspection by any policyholder or shareholder affected by it, for a period of fifteen days after the publication of the notice, at the office of each company engaged in the transfer or amalgamation; (f) the Supervisor, in the case of the transfer of long-term insurance business, may cause a report on the scheme to be made by an independent actuary and shall cause a copy of the report to be sent to each of the companies engaged in the transfer or amalgamation; and (g) the may give directions concerning– (i) the publication of advertisements of the (ii) the giving of notices to shareholders, policyholders or creditors of the (iii) the holding of meetings of any company affected and such directions shall be complied with by the person to whom they are given. (2) When approved by the Supervisor, the scheme shall be binding on all persons and shall have effect notwithstanding anything in the instruments constituting the company or in the articles of association or in any rules of the company and the directors of any company affected by the scheme shall cause a copy of the scheme to be filed with the Registrar of Companies. (3) All expenses incurred by the Supervisor in obtaining the report of any actuary on the scheme shall be defrayed by the companies engaged in the transfer or amalgamation, and any sum due in respect of those expenses may be recovered summarily as a civil debt by the Supervisor from the companies either jointly or severally.