The Insurance Companies (Mergers and Divisions) Regulations 1987

Amendment of Insurance Companies Act 1982

2.—(1) Section 49 of the Insurance Companies Act 1982(1) (sanction of court for transfer of long term business) shall be amended as follows.

(2) The following subsection shall be inserted after subsection (1)—

“(1A) If any such scheme involves a compromise or arrangement falling within section 427A(1) of the Companies Act(2) or Article 420A(1) of the Companies (Northern Ireland) Order 1986(3) (application of provisions about compromises and arrangements to mergers and divisions of public companies), the following provisions, namely—

(a) sections 425 to 427 of that Act, or

(b) Articles 418 to 420 of that Order,

shall have effect, as regards that compromise or arrangement, as provided by section 427A(1) or Article 420A(1) (as the case may be), but without prejudice to the operation of the provisions of this section in relation to the scheme.”

(3) The following paragraph shall be added at the end of subsection (3)—

“(e) in the case of any such scheme as is mentioned in subsection (1A) above, that copies of the documents listed in paragraph 6(1) of Schedule 15A to the Companies Act or in paragraph 6(1) of Schedule 15A to the Companies (Northern Ireland) Order 1986 had been served on the Secretary of State by the beginning of the period referred to in paragraph 3(e) of that Schedule.”

(4) In subsection (7), for the words from “and no” to “or members)” there shall be substituted “and, except in the case of any such scheme as is mentioned in subsection (1A) above, no order shall be made under any of the provisions specified in paragraph (a) or (b) of that subsection”.

(1)

1982 c. 50; section 49(7) was amended by the Companies Consolidation (Consequential Provisions) Act 1985 (c. 9), Sch 2, and by the Companies Consolidation (Consequential Provisions) (Northern Ireland) Order 1986 (S.I. 1986/1035 (N.I.9))

(2)

1985 c. 6; section 427A was inserted by the Companies (Mergers and Divisions) Regulations 1987 (S.I. 1987/1991).

(3)

S.I. 1986/1032 (N.I.6) Article 420A was inserted by the Companies (Mergers and Divisions) Regulations (Northern Ireland) 1987 (S.R. 1987/442).