Bill C-38
If you have any questions or comments regarding the accessibility of this publication, please contact us at accessible@parl.gc.ca.
|
DIVISION 10 |
|
|
ADEQUACY OF CAPITAL AND LIQUIDITY |
|
Adequacy of
capital and
liquidity
|
992. (1) An insurance holding company
shall, in relation to its business, maintain
|
|
|
|
|
|
|
|
|
and comply with any regulations in relation to
capital and liquidity.
|
|
Regulations
and guidelines
|
(2) The Governor in Council may make
regulations and the Superintendent may make
guidelines respecting the maintenance by an
insurance holding company of adequate
capital and adequate and appropriate forms of
liquidity.
|
|
Directives
|
(3) Even if an insurance holding company
is complying with regulations or guidelines
made under subsection (2), the
Superintendent may, by order, direct the
insurance holding company
|
|
|
|
|
|
|
|
Compliance
|
(4) An insurance holding company shall
comply with an order made under subsection
(3) within the time specified by the
Superintendent in the order.
|
|
|
DIVISION 11 |
|
|
REGULATION OF INSURANCE HOLDING COMPANIES |
|
|
Supervision
|
|
|
Returns
|
|
Required
information
|
993. An insurance holding company shall
provide the Superintendent with such
information, at such times and in such form as
the Superintendent may require.
|
|
Names of
directors and
auditors
|
994. (1) An insurance holding company
shall, within thirty days after each annual
meeting of the insurance holding company,
provide the Superintendent with a return
showing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Changes
|
(2) Where
|
|
|
|
|
|
|
|
|
|
|
|
the insurance holding company shall
forthwith provide the Superintendent with
such information as is required to maintain the
return in a complete and accurate form.
|
|
Copy of
by-laws
|
995. An insurance holding company shall
send to the Superintendent within thirty days
after the coming into effect of a by-law or an
amendment to a by-law, a copy of the by-law
or amendment.
|
|
Register for
insurance
holding
company
|
996. (1) The Superintendent shall, in
respect of each insurance holding company,
cause a register to be maintained containing a
copy of
|
|
|
|
|
|
|
|
Form
|
(2) The register may be maintained in
|
|
|
|
|
|
|
|
Access
|
(3) Persons are entitled to reasonable access
to the register and may make copies of or take
extracts from the information in it.
|
|
Evidence
|
(4) A statement containing information in
the register and purporting to be certified by
the Superintendent is admissible in evidence
in all courts as proof, in the absence of
evidence to the contrary, of the facts stated in
the statement without proof of the
appointment or signature of the
Superintendent.
|
|
Production of
information
and
documents
|
997. (1) The Superintendent may, by order,
direct a person who controls an insurance
holding company or any entity that is
affiliated with an insurance holding company
to provide the Superintendent with such
information or documents that are specified in
the order if the Superintendent believes that
the production of the information or
documents is necessary in order to
|
|
|
|
|
|
|
|
Time
|
(2) Any person to whom a direction has
been issued under subsection (1) shall provide
the information or documents specified in the
order within the time specified in the order
and, where the order does not specify a time,
the person shall provide the information or
documents within a reasonable time.
|
|
Exemption
|
(3) Subsection (1) does not apply in respect
of an entity that controls an insurance holding
company or is affiliated with an insurance
holding company where that entity is a
financial institution regulated
|
|
|
|
|
|
|
|
Confidential
information
|
998. (1) All information regarding the
business or affairs of an insurance holding
company, or regarding a person dealing with
an insurance holding company, that is
obtained by the Superintendent, or by any
person acting under the direction of the
Superintendent, as a result of the
administration or enforcement of any Act of
Parliament, and all information prepared from
that information, is confidential and shall be
treated accordingly.
|
|
Disclosure
permitted
|
(2) Nothing in subsection (1) prevents the
Superintendent from disclosing any
information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
if the Superintendent is satisfied that the
information will be treated as confidential by
the agency, body or person to whom it is
disclosed.
|
|
Regulations
|
999. The Governor in Council may make
regulations prohibiting, limiting or restricting
the disclosure by insurance holding
companies of prescribed supervisory
information.
|
|
|
Examination of Insurance Holding
Companies
|
|
Examination
of insurance
holding
companies
|
1000. (1) The Superintendent, from time to
time, shall make or cause to be made any
examination and inquiry into the business and
affairs of each insurance holding company
that the Superintendent considers to be
necessary or expedient to determine whether
the insurance holding company is complying
with the provisions of this Act and to ascertain
the financial condition of the insurance
holding company.
|
|
Access to
records of
insurance
holding
company
|
(2) The Superintendent or a person acting
under the Superintendent's direction
|
|
|
|
|
|
|
|
Power of
Superinten- dent on inquiry
|
1001. The Superintendent has all the
powers of a person appointed as a
commissioner under Part II of the Inquiries
Act for the purpose of obtaining evidence
under oath, and may delegate those powers to
any person acting under the Superintendent's
direction.
|
|
|
Remedial Powers
|
|
|
Prudential Agreements
|
|
Prudential
agreement
|
1002. The Superintendent may enter into an
agreement, called a ``prudential agreement'',
with an insurance holding company for the
purposes of implementing any measure
designed to protect the interests of depositors,
policyholders and creditors of any federal
financial institution affiliated with it.
|
|
|
Directions of Compliance
|
|
Superinten- dent's directions to insurance holding companies, etc.
|
1003. (1) If, in the opinion of the
Superintendent, an insurance holding
company, one of its affiliates or any person
with respect to an insurance holding company,
is committing, or is about to commit, an act or
is pursuing, or is about to pursue, a course of
conduct that may directly or indirectly be
prejudicial to the interests of depositors,
policyholders or creditors of a federal
financial institution that is affiliated with the
insurance holding company, the
Superintendent may direct the insurance
holding company to
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Opportunity
for
representa- tions
|
(2) Subject to subsection (3), no direction
shall be issued unless the insurance holding
company is provided with a reasonable
opportunity to make representations in respect
of the matter.
|
|
Temporary
direction
|
(3) If, in the opinion of the Superintendent,
the length of time required for representations
to be made might be prejudicial to the public
interest, the Superintendent may make a
temporary direction with respect to the
matters referred to in paragraphs (1)(a) to (d)
having effect for a period of not more than
fifteen days.
|
|
Duration of
temporary
direction
|
(4) A temporary direction continues to have
effect after the expiration of the fifteen day
period if no representations are made to the
Superintendent within that period or, if
representations have been made, the
Superintendent notifies the insurance holding
company that the Superintendent is not
satisfied that there are sufficient grounds for
revoking the direction.
|
|
Court
enforcement
|
1004. (1) If an insurance holding company
is contravening or has failed to comply with a
prudential agreement entered into under
section 1002 or a direction of the
Superintendent issued under subsection
1003(1) or (3), or is contravening this Act, or
has omitted to do any thing under this Act that
it is required to do, the Superintendent may, in
addition to any other action that may be taken
under this Act, apply to a court for an order
requiring the insurance holding company to
comply with the direction, cease the
contravention or do any thing that is required
to be done, and on such application the court
may so order and make any other order it
thinks fit.
|
|
Appeal
|
(2) An appeal from a decision of a court
under subsection (1) lies in the same manner,
and to the same court, as an appeal from any
other order of the court.
|
|
|
Disqualification and Removal of Directors
or Senior Officers
|
|
Meaning of
``senior
officer''
|
1005. In sections 1006 and 1007, ``senior
officer'' means the chief executive officer,
secretary, treasurer or controller of an
insurance holding company or any other
officer reporting directly to the insurance
holding company's board of directors or chief
executive officer.
|
|
Application
|
1006. (1) This section applies only in
respect of an insurance holding company
|
|
|
|
|
|
|
|
Information to
be provided
|
(2) An insurance holding company shall
provide the Superintendent with the name of
|
|
|
|
|
|
|
|
|
|
|
|
together with such other information about the
background, business record and experience
of the person as the Superintendent may
require.
|
|
When
information to
be provided
|
(3) The information required by subsection
(2) shall be provided to the Superintendent
|
|
|
|
|
|
|
|
Disqualifi- cation or removal
|
(4) If the Superintendent is of the opinion
that, on the basis of the competence, business
record, experience, conduct or character of a
person, he or she is not suitable to hold that
position, the Superintendent may, by order,
|
|
|
|
|