(1)The Secretary of State shall not issue an authorisation under section 3 above to an applicant whose head office is in a member State other than the United Kingdom unless the applicant has a representative fulfilling the requirements of section 10 below.
(2)The Secretary of State shall not issue an authorisation under section 3 above to an applicant whose head office is in a member State other than the United Kingdom if it appears to the Secretary of State that any relevant executive or main agent of the applicant is not a fit and proper person to hold the position held by him.
(3)Where an applicant whose head office is in a member State other than the United Kingdom seeks an authorisation under section 3 above restricted to reinsurance business—
(a)the Secretary of State shall not issue the authorisation unless he is satisfied that the applicant is a body corporate entitled under the law of that State to carry on insurance business there ; and .
(b)subsection (2) above shall have effect as if the reference to any relevant executive were a reference to any person who is a director, controller or manager of the applicant or a person within paragraph (a) or (b) of subsection (4) below.
(4)In this section " relevant executive" in relation to the applicant means a person who is—
(a)the representative referred to in subsection (1) above or the individual representative referred to in section 10(5) below;
(b)an officer or employee of the applicant who, either alone or jointly with others, is responsible for the conduct of the whole of the insurance business carried on by the applicant in the United Kingdom, not being a person who—
(i)is also responsible for the conduct of insurance business carried on by the applicant elsewhere, and
(ii)has a subordinate who is responsible for the whole of the insurance business carried on by the applicant in the United Kingdom ; or
(c)an employee of the applicant who, under the immediate authority of a director or of an officer or employee within paragraph (b) above.—
(i)exercises managerial functions, or
(ii)is responsible for maintaining accounts or other records of the applicant,
not being a person whose functions relate exclusively to business conducted from a place of business outside the United Kingdom;
and "controller", "manager" and "main agent" have the same meanings as in section 7 above.