An Act to amend the law governing financial institutions and to provide for related and consequential matters (S.C. 2007, c. 6)

Assented to 2007-03-29

Marginal note:1997, c. 15, s. 302

 Subsections 579(1) and (2) of the Act are replaced by the following:

Marginal note:Application
  • 579. (1) An application for an order under subsection 574(1) must be filed with the Superintendent, together with the information, material and evidence that the Superintendent may require, including

    • (a) documents relating to the constitution of the foreign entity;

    • (b) a power of attorney to the chief agent appointed under subsection (3), in the form that the Superintendent may require;

    • (c) a statement, in the form that the Superintendent may require, of the financial condition of the foreign entity and of the business of insurance undertaken by the foreign entity, and any additional statements or information that the Superintendent may require as to its solvency and its ability to meet all of its obligations;

    • (d) evidence satisfactory to the Superintendent that the foreign entity is authorized under the laws of the country where it is incorporated or formed to insure risks within each class of insurance in Canada that that foreign entity has applied to insure;

    • (e) in the case of a foreign fraternal benefit society,

      • (i) a report of an actuary appointed by the foreign fraternal benefit society, in the form that the Superintendent may require, on the results of an actuarial valuation made by the actuary, as of the preceding December 31 or as of any later date specified by the Superintendent, of each of the benefit funds maintained by the foreign fraternal benefit society, having regard to the prospective liabilities of and contributions to each fund, and

      • (ii) the opinion of the actuary that the assets of the foreign fraternal benefit society applicable to each fund, taken at the value accepted by the Superintendent, together with the premiums, dues and other contributions to be received after the date of the valuation from the members according to the scale in force at the date of the valuation, are sufficient to provide for the payment at maturity of all of the obligations of the fund without deduction or abatement; and

    • (f) a copy of the resolution respecting the investment and lending policies, standards and procedures that the foreign entity is to establish and adhere to in accordance with subsection 615(1).

  • Marginal note:Contents of power of attorney

    (2) A power of attorney referred to in paragraph (1)(b) must expressly authorize the chief agent to receive all notices under the laws of Canada from the Minister or the Superintendent.

Marginal note:2005, c. 54, s. 299

 Sections 580 and 581 of the Act are replaced by the following:

Marginal note:Publishing notice of intention

580. Before filing an application referred to in subsection 579(1), a foreign entity must, at least once a week for four consecutive weeks, publish, in a form satisfactory to the Superintendent, a notice of intention to make the application in the Canada Gazette and in a newspaper in general circulation at or near the place where its chief agency is to be situated if it is granted an order under subsection 574(1).

Marginal note:Conditions for order
  • 581. (1) The Superintendent shall not make an order under subsection 574(1) in respect of a foreign entity until it has been shown to the satisfaction of the Superintendent that all relevant requirements of this Act have been complied with and that the foreign entity has

    • (a) vested in trust assets having a prescribed value;

    • (b) appointed an actuary under section 623 and an auditor under section 633; and

    • (c) established its chief agency.

  • Marginal note:Conditions of order

    (2) The order may contain any conditions or limitations that are consistent with this Act and that the Superintendent considers appropriate.

 Section 582 of the English version of the Act is replaced by the following:

Marginal note:Permissible securities
  • 582. (1) The assets of a foreign entity to be vested in trust are to consist of unencumbered securities of or guaranteed by Canada or a province.

  • Marginal note:Other permissible securities

    (2) The assets of a foreign entity to be vested in trust may also consist of other securities at the accepted value and on the conditions established by the Superintendent.

 Section 583 of the Act is replaced by the following:

Marginal note:Contents of order

583. An order made under subsection 574(1) in respect of a foreign company must set out

  • (a) the name of the foreign company and, if different, the name under which it is authorized to insure risks;

  • (b) the day on which the order becomes effective;

  • (c) the classes of insurance risks that the foreign company is authorized to insure; and

  • (d) the conditions or limitations that are consistent with this Act that are considered appropriate by the Superintendent.

 Subsection 584(1) of the Act is replaced by the following:

Marginal note:Public notice
  • 584. (1) On the making of an order under subsection 574(1) in respect of a foreign company, the foreign company must publish a notice of the making of the order in a newspaper in general circulation at or near the place where its chief agency is located.

Marginal note:2005, c. 54, s. 300

 The portion of section 585 of the Act before paragraph (a) is replaced by the following:

Marginal note:Publication of list

585. Unless the regulations provide otherwise, the Superintendent shall cause to be published quarterly in the Canada Gazette a list of

 Subsection 586(1) of the Act is replaced by the following:

Marginal note:Variations
  • 586. (1) In respect of an order made under subsection 574(1) in respect of a foreign company, the Superintendent may at any time, by further order,

    • (a) specify additional classes of insurance risks that the foreign company is authorized to insure;

    • (b) make the order subject to conditions or limitations that are consistent with this Act and that are considered appropriate by the Superintendent; or

    • (c) amend or revoke any authorization contained in the order or any condition or limitation to which the order is subject.

  • Marginal note:Representations

    (2) Before making any such further order, the Superintendent must give the foreign company an opportunity to make representations regarding that further order.

 
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