Subject NOT available

click here for IIIF manifest

REGISTERED No. D.221

The Gazette of India

EXTRAORDINARY

PART II—Section 3—Sub-section (ii)

PUBLISHED BY AUTHORITY

No. 145] NEW DELHI, WEDNESDAY, APRIL 16, 1969/CHAITRA 26, 1891

Separate paging is given to this Part in order that it may be filed as a separate compilation.

MINISTRY OF FINANCE

(Department of Revenue and Insurance)

NOTIFICATION

New Delhi, the 16th April 1969

S.O. 1497.—The following draft of certain rules further to amend the Insurance Rules, 1939, which the Central Government proposes to make in exercise of the powers conferred by section 114 of the Insurance Act, 1938 (4 of 1938), is published as required by sub-section (1) of the said section, for the information of all persons likely to be] affected thereby; and notice is hereby given that the said draft will be taken into conside- ration on or after the 20th May, 1969.

2. Any objections or suggestions which may be received from any persons with respect to the draft on or before the date specified above will be considered by the Central Government.

Draft Rules

1. (1) These Rules may be called the Insurance (Amendment) Rules, 1969.

(2) They shall come into force on

.

(523)

2. In the Insurance Rules, 1939 (hereinafter referred to as the said rules), rule 10B shall be renumbered as sub-rule (1) thereof and after sub-rule (1) as so re-numbered, (fee following sub-rule shall be inserted, namely:—

•'(2) (i) For the purposes of sub-section (2) of section 27B of the Act, U" following assets shall bo deemed to bo assets invented or kept invested in approved investments specified in sub-section (1) of section 27B of tho Act: —

(a) interest, dividend and rents (outstanding and accrued);

(b) cash in hand and with banks (other than banks in liquidation) in current

and collection accounts:

(c) bills receivable:

(d) amounts due from other insurers in respect of reinsurance recoveries and deposits or reserves with other insurers in respect of treaties for rei"- suranccs to be accepted",

(ii) In respect of insurers specified in clause (c) of sub-section (16) of section 72B of the Act, three fourths of the value of the following assets shall also be deemed to be approved investments specified In sub-section (1) of section 27B of the Act. n a m e l y :-

(a) Motor Cars.

(b) Stamps on hand. (c) Amount of income tax directed by the Income Tax authorities to bo refunded".

3. In rule IOC of the said rules, after sub-rule (2), the following sub-rules shall bo laaerted, namely:—

"(3) The returns to be furnished under sub-section (1) of section 28B of tho Act, shall show all the investments made out of the assets and subsisting as at tho 31st day of December of the preceding yesr and shall be in Form IV-AA.

(4) The return to bo furnished under sub-section (2) of Section 28B of the Act. shall be in Form IV-BB.".

4. Rule 10D of the said rules shall be renumbered as sub-rule (1) thereof and after tub-rule (1) as so renumbered, the following sub-rule shall be inserted, namely:—

"(2) For the purposes of sub-section. (11) of section 27B an insurer may subject not more than one-tenth of total assets in value to a charge in favour of one or more banking companies for a period not exceeding three months in respect of assets offered as security for any loan taken for purposes of any investment or for payment of claims.".

5. In rule 16 of the said Rules.

(1) for the word and figure "Rs. 5", the word and figures "Rs. 15" shall bo substituted, and

(ii) for the word and figure "Rs. 2", the word and figure "Rs. 7" shall be substituted.

6. In rule 16A of the said rules,—

(i) in clause (b) for the words and figures "Rs. 5 or Rs. 7" the words and figure* "Rs. 25 or Rs. 35" shall be substituted.

(ii) in the first proviso, for the word and figure "Rs. 30", the word and figure "Rs. 75" shall be substituted.

7. In rule 16E of the said rules, after the words "A person to whom a licence or • certificate has been issued", the words "under section 42 or section 42A of the Act" shall be Inserted.

8. In rule 17 of the said rules, for the word 'life' the words 'any class of shall bo •ubstttuted.

9. After rule 17-A of the said rules the following rule shall be inserted, namely:—

"17-AA. Form for declaration.—Tho declaration to be made in pursuance of sub- section (5) of section 6A of the Act to a public company limited by shares having its registered office in India and carrying on general insurance busi- ness by a person who has any interest in any of its shares standing In the name of another person shall be in Form-V-GG."

10. In rule 17E of ihe said rules.—.

(i) in clause (i) of sub-rule (1), for the words and figures "Dot exceeding IS p"p cent", the words and figures "not exceeding in respect of fire insurance. business 5 per cent and in respect of miscellaneous insurance business 10 per cent" shall be substituted:

(ii) in clause (i) of sub-rule (2), for the words "not exceeding in amount ten. per cent", the words "not exceeding in amount five per cent" shall be substituted.

11. Rule 17F of tho said mles shall be renumbered us sub-rule (1) thereof and after •ub-rulc (1) as so renumbered, tho following sub-rule shall be inserted, namely;

"(2) The share of the Head Office expenses in the case of an insurer having bis principal place of business in India for the purposes of sub-clause (i) of clause (b) of the Explanation to section 40C of the Act, shall not exceed 5 per cent of the gross premium income written direct outside India during the year.".

12. After rule 17F of the said-rules, the following rules shall be inserted, namely:— "17FA. Principal Office expdises.—For the purposes of sub-clause (ii) of clause (b) of the Explanation to section 40C of the Act, the share of the ex- penses in the case of an insurer having his principal place of business out- side India in respect of general insurance business transacted by him out- side India through his office in India shall not exceed 5 per cent of the gross premium income written direct outside India through his office in India during the year.

17FB, Share of expenses debitable to profit and loss Accountt.—The share of managerial expenses which imy be debited to the profit and loss account shall not exceed 10 per cent of the principal officer's, remuneration during the year.".

13. Rules 171, 171 and i7K of the said rules shall be omitted.

14. In rule 24 of the said rules, for sub-rule (2), the following sub-rule shall be •ubstituted. namely:—

"(2) The fee for renewal of registration under section 3A of the Act for each class of insurance business for which the insurer is registered shall be:—•

(i) five hundred rupees, or (ii) in the case of ;in insurer not carrying on solely reinsurance business, one- fourth of one per cent of the total gross premium written direct In India in that class of insurance business during the year preceding the year In which, the application for renewal of registration is required to bo made by the insurer, (the amount of fee so arrived at, if not an integral number of rupees, being rounded off to the next lower integral rupee), or

(iii) in the case of an insurer carrying on solely reinsurance business, one- fourth of one per cent of the total premiums in respect of facultative reinsurances accepted by ihe insurer in that class of insurance business during the year preceding the year in which the application for renewal of registration is required to be made (the> amount of fees so arrived at, if not an integral number of rupees, being rounded oft to tho next lower integral rupee),

whichever IN hisher.",

15. After rule 38 of the said rules, the following rules shall be inserted, namely:—

"39. Minimum information to be maintained and the checks and other verifica- tions to he adopted.—(1) Evary insurer shall maintain at the principal place of business of the insurer in Indfa the items of Information specified in sub-rules (2) and (3):

Provided that where it is not convenient or practicable to maintain _ any item of information in full detail at such principal office it may w'ih fV; tirlof consent of the Controller be maintained at the branches or other offices

in such way however that each such branch or office maintains the rclcrraxt part of the information applicable to its working.

(2) The following items of information shall bo maintained in respect of cack class or sub-class or insurance business, namely:—

(i) a record of cover-notes, issued specifying the identification number, name of party, dates of commencement and where applicable expiry of risk, type of cover granted or cross-reference to the relevant policy and the amount of premium or other money received.

Provided' that if duplicate copies of cover notes axe maintained in serial order. the requirement of this provision shall be deemed to have been complied with;

(ii) a. record of policies, which should be serially numbered, listing all policies issued entered in chronological order, stating the number of policy, date* of commencement and expiry of risk, name of the insured, premium received, cross reference to the relevant Bank Guarantee or deposit and the nature of risk granted, cross reference to any cover-note issued prior to tho issue of policy and cross-refcrenc to any endorsement passeU subsequent to the issue of the policy; provided that a serially filed collec- tion of duplicate copies of policies issued shall be deemed sufficient com- pliance with this requirement, if they are serially numbered and all the relevant information specified in this clause are entered therein;

(iii) a record of premiums showing, according to chronological order of receipt of premiums received, date of receipt, the amount, and name of party from whom received and with cross-reference to policy number or to other document showing the occasion for the payment of such premium: Provided that if this infprmation is readily available otherwise from the records, a separate record under this head need not be maintained;

(iv) a record of endorsements mentioning the policy number to which attached, Mates of commencement and expiry of the endorsement, the type of endorse- ment and the additional premium charged or refund premium due and cross reference to the premium register; provided that serially filed duplicate copies of endorsements shall be deemed to comply with this requirement if they arc serially numbered and each copy contains information about the policy number of the policy to which it is attached;

(v) a record of bank guarantees and deposits giving particulars of the party, amount and conditions of guarantee or deposit and cross-reference to the relevant policy or policies;

Provided that if this information is readily available otherwise from the records, a separate record under this head need not be maintained;

(vi) a record of claims intimated mentioning name of claimant, giving re- ference to policy number, date of intimation of claim, interest covered, nature and cause of the loss or damage, provisional estimate of. low, amount at which settled, date of settlement of clnim, recoveries from salvage or otherwise and whether surveyed:

Provided that two separate records, one relating to claims intimated and the other relating to claims paid, may bo maintained if there i" adequate cross-referencing of information between them and if the information required under this clause is readily available from them taken together.

(3) The following items of information shall be maintained for tho business of the insurer as a whole at the principal place of business in India, or at the option of the irsurfr. at r-.ch branch or nther office in respect of the business carried on by or through such branch or office, namely:—

(i) a reciter of fcents, pivinc in revert of each flgent, name, addresi and particulars of agents' licence held, date of appointment and date of terminiticm of amolntmcnt if any:

Pronded that n co'irrf'on nf o Hs or folirm ih-\\] be d>-enW sufficient compliance with this reauirrrnent if they are filed in a systematic order and contain nil the information required under this clause;

(ii) • record of agents giving particulars of business procured by each agent* the amount of premium received on such business and the amount am commission paid thereon;

(iii) duplicate copies of appointment letters issued to the agents, field worker* and members of the staff and changes therein;

(Iv) a record of employees, excluding salaried field workers, showing name, dat* of appointment, present designation, present salary and cross-reference to appointment letter and date of termination, if any;

(T) a record of field workers showing name, date of appointment, present designa- tion, and present salarv, showing the business expected from and written by them with cross reference to appointment letters and date of termina- tion, if any;

(vi) cash book and disbursement book; (vii) a record of investments giving separately for immovable property, securities and scrips, loans on mortgages and other loans, particulars of all the in- vestments helJ anJ ihowing the changes occurring therein from time to time;

(vili) a record of other assets, such as deposits, amounts due, sundry debtors, furni- ture and fixtures, stationery, and cash in hand and with banks:

Provided that in rcsnei.t of cash in hand and with banks the requirements of thi" clause shall be deemed to be complied with if the information about tho amount of such cash is readily available from the Cash Book or other records.

(4) Every insurer shall obtain and maintain a legally valid receipt for every pay- ment made and shall maintain the receipts filed in a systematic manner either chronologically or in some other convenient order.

(5) Every insurer shall, in respect of any payment made to an employee or other person on account of travelling expenses, maintain a record showing full details of the journey performed, purpose of the journey, details of the fares paid and allowances granted.

(6) Every office of an insurer shall maintain an attendance register of clerical snA subordinate staff indicating employees who attend the office each day, (7) Every office of an insurer issuing any documents used for evidencing of tha assumption of risk shall ensure that such documents are serially numbered, shall maintain a record of the serial numbers of the- forma of documents issued to each person, and shall maintain a proper check to verify that alt the forms of documents issued are properly accounted for.

(8) Every insurer shall retain all the documents relating to claims settled, including

copies of any survey or loss assessment reports connected therewith:— (i) in respect of every loss or damage- on which a claim of less than Rs. 5,000 has been mide for a period of three years;

(ii) in respect of every loss or damage on which a claim of Rs 5,000 or more but less than Rs, 20,000 has been made for a period of five years; (Iii) in respect of every loss or damage on which a claim of Rs. 20,000 or moro but less than rupees one lakh has been made for a period of seven yean; and

(iv) in respect of every loss or damage on which a claim of rupees one lakh or more has been made for a period of twelve years;

such period being counted from the date on which the claim is settled;

(9) Every insurer shill maintain a record setting out the names of each insurance company with which he has entered into any permanent facultative re-insur- ance arrangement, and such record shall show the terms on which the reinsur- ance arrangements have been entered into and the commissions paid of received under each transaction,

(10) Every insurer shall maintain a record setting out particulars of each and every facultative reinsurance ceded or accepted and such record shall show tho name of each insurer with whom the transaction has been entered into, (to" terms of the contract and the commission received or paid.

(11) Every insurer shall maintain a record setting out tho names of each insurance company with which he has entered into reinsurance treaties from any of his

offices in India, and such record shall include all the details of the terms of the treaties.

(12) (a) Every insurer shall maintain the following accounts in its lciigers, name-

ly:—

(i) Reinsurance Accepted Account; fii) Reinsurance commission paid Account; (iii) Reinsurance Claims Payable Account; (iv) Reinsurance Claims Paid Account;

(v) Reinsurance Ceded Account; (vi) Reinsurance Commission received Account;

(vii) Reinsurance Claims recoverable Account; (viii) Reinsurance Claims recovered Account;

(b) An insurer shall be deemed to have complied with the provisions of clause (a), if the information required is otherwise readily available from the existing books and accounts of the insurer.

40. Search and Seizwre.—(1) The powers of search and seizure under section 34H of the Act shall be exercised in accordance with sub-rules (f2) to (14).

(2) The Controller may, after recording his reasons for doing so authorise any subordinate Officer of his not lower in rank than an Assistant Controller of Insurance, (hereafter in this rule referred to as tho authorised officer) for tho purposes of section 34 H of the Act; provided that such authorisation

•tan—

(0 be in writing under his signature; (ii) bear bis seal, and nil) authorise the authorized officer to enter and search any building or place specified therein, and to exercise the powers and perform the functions under sub-section (1) of section 34H of the Act with such assistance of police officers or of the officers of the Central Government, or both, as may be required.

(3) Whenever any building or place authorised to be searched is closed, any person residing in or being in charge of such building or place shall on demand by the authorized officer and on production of the authority allow him free ingress thereto and afford all reasonable facilities for a search therein.

(i) If ingress into such building or place cannot be so obtained it shall be lawful for the authorized officer executing the authority, with such assistance of police officers or of officers of the Central Government or of bow as may be required, to enter such building or place and search therein and in order to effect an entrance into such building or place, to break open any outer or inner door or window of any building or place, whether that of the person to be searched or of any other person, if after notification of his authority and purpose and demand of admittance duly made, he cannot otherwise obtain admittance:

Provided that, if any such building or place is an apartment in actual occupancy of a woman who according to custom does not appear in public the authorized officer, shall, before entering such apartment, give notice to such women that she is at liberty to withdraw and shall afford her every reasonable facility for withdrawing and may then break open the apart- ment and enter It.

(5) The authorized officer may require any person who is the owner, or has the immediate possession, or control, of any box, locker, safe, alm.rah or any other receptacle situate in such building or place, to open the same and allow access to inspect or examine its contents, and where the keys thereof are not available or where such person fails to comply with any such retirement may cause any action to be taken including the breaking open of such box locker safe, almirah or other receptacle which the authorized officer may deem necessary for carrying out all or any of the purposes specified in the authority issued under sub-rule (2).

(61 The authorized officer, may, where it is not practicable to seize any rook, ( ' account or document, serve an order on the owner or the person wna " nfimmediate possession or control thereof that he shall not remove parr with or otherwise deal with it except with the prev,ou<. permission of the.

authorized officer who may take such steps as may be necessary for ensuring compliance with this sub-rule.

(7) Where any person in or about such building or place is reasonably suspectel of concealing about his person any book, account or document for which search is being made, such person may also be searched by the authorize* officer with such assistance as be may consider necessary. If such person is a woman, the search shall be made by another woman with a itrict regard to decency.

(8) Before making a search, the authorized officer about to make it shall call ope* two or more respectable inhabitants of the locality in which the buildio* or place to be searched is situate to attend and witness the search anS may issue an order in writing to them or any of them so to do. '

CJ1 The search shall be made in the presence of the witnesses aforesaid and a Hst of all books, accounts and documents seized in the course of such search and of the places in which they were respectively found shall be prepared by the authorized officer and signed by such witnesses; but no person witnessing a search shall be required to attend as a witness of the search In any proceedings under the Act unless specially summoned.

<10j The occupant of the building or place searched or some person In his behalf shall be permitted to attend during the search and a copy of the UW prepared under sub-rule (9) shall be delivered to such occupant or person. A copy shall also be forwarded to the Controller.

(11) When any person is searched under sub-rule (7) a list of all books, accounts and documents taken possession of shall be prepared and a copy thereof shall be delivered to such person. A copy shall also be forwarded to the Controller.

(12) The authorized officer may convey the books, accounts and other document*, if any, seized by him in the course of the search made by him to tbr office of the Controller or to the office of the authorized officer or to any other office under the jurisdiction of the Controller.

(13) The Controller or the officer in charge of the office mentioned in sub-rule (12)^ as the case may be, shall take such steps as he may consider necessary for the safe custody of books, accounts and other documents conveyed to him.

(14) The authorisation of the Controller referred to in sub-rule (2) shall be in Form

No. XVII.

TAMFP ADVISORY COMMITTEE

41. Constitution:—(1) The representatives of insurers on the Tariff Advisory Com- mittee (hereinafter in this rule and in rules 42 to 54 referred to as the Co"- mittec) shall be elected as follows, namely:—

(a) one member to be elected by insurers registered under the Act In the public sector that is to say the Life Insurance Corporation of India and the insure!* whose majority shares are held by the Life Insurance Corporation of India or by the Central Government;

(b) four members to be elected by Indian Insureis registered under the Act othtr than thow specified under clause (a) having their principal offices in the Bombay area;

(c) two members to be elected by Indian insurers registered un'der the Act other than those specified under clause (a) having their principal offices in the Calcutta area;

(d) one member to be elected by Tndian Insurers registered under the Act other than those specified under clause (a) having their principal offices in Jhe Delhi area-

(e) two members to be elected by Indian insurers registered under the Act_ other than thoie specified under clause (a) having their principal offices in tfce Madras area;

ff) three members to be elected by insurers incorporated or domiciled elscwfiejp than in India but registered in India, and having their principal place Sf business in India in the Calcutta area;

(g) onp member to bo elected by insurers incorporated or domiciled elsewhere than in ladia but registered in India, and having their principal place of business hi India outside the Calcutta area;

(2) For the purpose of this rule if any dispute arises as to which area an insurer belongs to, the Controller shall decide the question and his decision shall be final.

42. Term of Office:—(1) The Vice-Chairman and the Secretary of the Committee

shall hold office during the pleasure of the Controller.

(2) The term of office of every elected member of the Committee shall be three yean from the first day of October of the year of election.

Provided that the Central Government may, at its discretion, extend the term of office of all the elected members by a period not exceeding three months and in that case the term of office of the newly elected members shall commence from the expiry of such extended period but shall expire on the expiry of a priod of three years from the 30th September of the year of election, unless extended under the provisions of this proviso.

43. Election of Members:—(1) Election of members shall be held in every third calendar year, the first election after the commencement of the Insurance (Amendment) Act, 1968 (62 of 1968) being held before 30th September, 1969. (2) Every election shall be conducted by the Secretary to the Committee under the directions of the Controller in accordance with the procedure specified in Sche- dule n.

44. Resignation and Filling of Casual Vacancies.—(1) Any member of the Committee may resign his membership of the Committee by notice hi writing addressed to the Controller to that effect and such resignation shall take effect from tile date on which it is accepted by the Controller or on the expiry of thirty days from the date of resignation, whichever is earlier.

(2) Casual vacancies in the office of the elected members of the Committee whether caused by resignation, death or otherwise, shall if it occurs within a period of two years from the last date of election of the Committee, bo filled by a bye-election conducted in the same manner as a normal election and in any other case by cooption by the committee, and any person, so co-opted to fill the vacancy shall hold office until the expiry of the term of office of the member in whose place he is nominated.

45. Any elected member of the Committee falling to attend three consecutive meet- ings of the Committee without leave of absence shall ipso-facto cease to be a member of the said Committee.

46. Removal of a Member.—(1) The Central Government may remove any elected member of the Committee, who, hi the opinion of that Government, has so flagrantly abused in any manner his position as a member as to render his continuance as a member detrimental to the interests of the insurance industry.

(2) No member shall be removed under sub-rule (1) unless he has been given a reasonable opportunity of showing cause against his removal.

47, Procedure for the conduct of Business of the Committee.—Procedure for th"

conduct of business of the Committee shall be as follows, namely:—

(1) Meetings of the Committee.—Meetings of the Committee may be held at such places an'd at such times as may be decided by the Chairman of the Com- mittee.

(2) Notice of the Meeting:—Notice of any meeting of the Committee shall be sent by the Secretary of the Committee to every member at least seven days before the date of the meeting. The notice shall state briefly the business to be transacted at the meeting.

(3) Quorum for the meeting.—Five elected members shall constitute the quorum

for a meeting.

(4) Adjournment of a meeting.—-If the requisite quorum Is not available within half an hour of the appointed time for a meeting the Chairman or fn his absence the Vive-chairman or in the absence of both the Chnfrman and the Vice-chairman anv person elected to preside under sub-rule (5) may adjourn the meeting to such date and time as he may decide and at such adjourned meeting no quorum shall be required.

(5) Chairman to preside at meeting.—The Chairman or in his absence the Vice- Ctaairman shall preside at all meetings of the committee. If both tha Chairman and the Vice-Chairman are unable to attend, the Committee may elect one of its members to preside at the meeting but no matter involving any financial implication shall be discussed at such a meeting.

(6) Decision at a meeting.—All matters required to be decided by the Committee shall be decided by the majority of the votes of the members present, the President at the meeting having a casting vote. The voting shall be by show of hands.

(7) Decision by circulation-—Any matter for consideration of the Committee may at the discretion of the Chairman be decided by circulation among the members as an alternative to convening a meeting for the purpose:

Provided that the decision arrived at shall not be valid unless at least five members express an opinion on that matter.

(8) Minutes.—The minutes of the proceedings of every meeting shall be recorded and signed by the person who presided at the relevant meeting and shall be circulated to all the members of the Committee.

48. Travelling and Daily Allowance—(1) Every non-official member shall be entitled for attending meetings of the Committee to travelling and other allowances as under:—

(i) travelling allowance for journeys from the usual place of residence or the place of commencement of the journey to the place of the meeting and the return journey to tho place of commencement of the journey or the usual place of residence, whichever is shorter in each case, at the maximum rate for the time being admissible to a Central Government servant of the first grade. Subject to the foregoing, the members shall be entitled to travel either by air-conditioned class or by air;

(ii) daily allowance at the maximum rate for the time being admissible to Central Government servants of the first grade at the place of the meeting for the days on which the meeting is held and in respect of one day previous to the commencement of the meeting and one day after the meeting if the member actually arrives on or before and leaves on or after tho respective days.

(2) Tho travelling and daily allowances of an official member shall be governed by the rules applicable to him for journeys performed on official duty. 49. Fees of Member.—A member, not being an officer of the Central Government, shall be paid fees by the Committee for attending meetings of the Committee of Rs. 50/- for each day of the meeting.

50. Functions of the Tariff Advisory Committee.—Tho functions of the Tariff

Advisory Committee shall be the following, namely:—

(a) to control and regulate from time to time and to the extent It deems expedient the rates, advantages, terms and conditions that may be offered by insurers in respect of any risk or of any class or category of risks, the rates, advantages, terms and conditions of which, in its opinion, it is proper to control and regulate;

(b) to collect from any insurers such information or statements, periodical or ad hoc. as it may consider necessary to enable i* to discharge its functions under Part ITB of the Act;

(c) to constitute Regional Committees and sub-Committees and, by regulation! made with the previous approval of the Central Government, to delegate to them from time to time such powers and functions as may be deemed necessary or expedient and withdraw or alter from time to time such powers and functions;

(d) to make, with the previous approval of the Central Government, regulations for all or any of the matters specified in sub-section (3) of section 64UB of the Act:

(e) to fix the amount of fees payable by insurers and to fix fees and charges to

cover the cost of any specific services rendered by it;

(I) to Invest, deal with or otherwise dispose of any of the monies or property or assets of the Committee and from time to time vary and reallw "ach Investments:

te) to make and give receipts, relcabts and other discharges for monies payable lor goods or property belonging to the Committee and for the claims and the demands of the Committee:

(h) to sanction all expenditure for the purpose of carrying out its functions and duties;

(i) to decide all subjects and matters as may be referred to it' by the Regional Committees;

(J) to appoint such officers and servants as may be necessary and fix the conditions of their service.

(k) to sign, seal, execute and 'deliver all instruments, deeds, documents or writings necessary or expedient for the purpose of carrying out its duties and functions;

(1) to invite to its meetings any person whose presence is necessary or desirable for transaction of the business of the meeting;

Cm) to make arrangements, at any time, on the application of an insurer, for the inspection of an organisation which is concerned with the inspection of risks, adjustment of losses or fire fighting appliances and, whenever necessary, to advise insurers about the adequacy of the arrangements for the inspection of risks and adjustment of losses or the suitability of such appliances

(n) to do all such acts and conduct all such matters as may be necessary, incidental or ancillary to any of the matters specified in clauses (a) to (m) or in order to effectively discharge the functions vested in the Committee bv the Act.

51. Regional Committees.—The elected representatives in the Regional Committee

for any prescribed area shall be elected as follows, namely:—

(i) one or two members, as the Advisory Committee may fix. shall be elected to represent insurers incorporated outside India and registered under the Act and carrying on general insurance business in that area;

Cii) such umber of members, as tho Advisory Committee may fix not exceeding four or not exceeding three according as one or two members are to be elected under clause (i), shall be elected to represent Indian insurers carrying on general insurance business in that area.

52. Appeal by agents against disciplinary action,—The Central Government may for the purpose of disposing of any appeal under sub-section (5) of Section 64UJ of the Act require such information supported by documentary proof wherever possible from the agent concerned as it may require.

53. The fees payable to the Tariff Advisory Committee—The fees payable to the Tariff Advisory Committee under sub-section (1) of Section 64UK in respect of a calendar year shall be paid before the 31st December of that year and shall be paid by means of a crossed bank draft on any Branch of the State Bank of India in Bombay City drawn in favour of the Committee.

54. Apportionment of Provident Fund.—Where on or after the commencement of the Insurance (Amendment) Act, 1968 (62 of 1968) all the employees of the Tariff Committee and the Regional Councils of the General Insurance Council do not become employees of the Tariff Advisory Committee under section 64UH of the Act, all the moneys and other assets belonging to the provident fund or superannuation fund or any other like fund referred to in sub-section (3) of section 64UF of the Act shall be apportioned between the Tariff Advisory Committee and the trustees of the fund in the following manner, namely:-—

ft) the moneys and other assets of any provident fund shall be apportioned in the proportion which the total of the amounts lvinR to the credit of the persons becoming employees of he Tariff Advisory Committee bears to the total of the amounts lyin$ to the credit of the persons who do not become employees of the Tariff Advisory Committee;

()i) the moneys and other assets of any superannuation fund shall be apportioned in the proportion which the liability of the fund in respect of the persons becoming employees of the Tariff Advisory Committee bears to a similar liability in respect of persons who do not become employees of the Tariff Advisory Committee, such liability to be ascertained on snch basis

as may be determined by the Tariff Advisory Committee and approved by the Central Government; and

(iii) the moneys and other assets of any other like fund shall be apportioned in accordance with the principles set out in clause (£) or clause (ii), as, the case may be.

Explanation.-—For the purposes of this rule the assets of a provident fund, supernnuation fund or any other like fund shall be valued at the market rate as on the date of commencement of the Insurance (Amendment) Act, 1968 (62 of 1968).

Licensing of Surveyors and Loss Assessors

55- Licence fee for Surveyors or Loss Assessors and Collection thereof.—(1) The fee for obtaining a licence to act as a Surveyor or Loss Assessor shall be Rs. 250 and for renewing such licence shall be Rs. 200.

(2) Any fee specified in this rule shall be paid into the Bank or where there is no office of the Bank, into the State Bank of India acting as the a"ent of that Bank or into any Government Treasury for credit under the central head "XXI—Miscellaneous Departments—Fees realised under the Insurance Act, 1938" and the receipt shall be sent along with the relevant application.

5b. Issue of licences to Surveyors or Loss Assessors— An Applicant who desires to obtain or renew a licence 10 act as a Surveyor or Loss Assessor shall proceed as follows :—

(a) the applicant shall obtain from the Controller of Insurance a form of appli-

cation for a licence which shall be,—

(i) in the case of an individual, Form XVI11—A I or XV11I—B I. Form XVIII—A I shall be used when the applicant applies for a licence for the first time or for a fresh licence, wlule Form XVIII—B I shall be used when the applicant applies for the renewal of the licence already held by him;

(ii) in the case of a company or firm, Form XVIII—AF, or Form XVIII—BF. Form XVIII—AF shall be used when the applicant applies for a licence for the first time or for a fresh licence, while Form XVUI-—BF shall be used when the applicant applies for the renewal of the licence already held by him;

(b) he shall then send to the Controller of Insurance the completed application form along with the receipt showing payment of the fees specified in rule 55;

v{c) the Controller of Insurance or the officer authorized by him may, after taking all reasonable steps to satisfy himself that the application is in order, that he applicant fulfils the requirements of clause (D) of sub-section (1) of section 64UM of the Act and that the applicant is not disQualifled from holding a licence, issue a licence to him or, as the case may be, renew the licence. The licence shall be in Form XVTTI—AAI in the case of an indivi- dual and in Form XVIII—AAF in the case of a company or firm. Rene- wal of licence shall be in Form XVIII—BBI in the case of an individual and in Form XVIII—BBF in the case of a company or firm;

,>,o" .10 application for the renewal of a licence shall be entertained if it docs not reach the Controller at least thirty days before the date on which the licence ceases to be in force

Sufficiency of Assets

.Ji Manner of bringing up the excess of the value of assets over the amount of

th" liabilities to the relevant amount.—(1) Tn the case of an insurer carrying on general insurance business at the commencement of the Insurance (Amendment) Act, 1968 (62 of 1968) the excess of Ihe value oE his assets over th" -Tiount of h;s liabilities shall be brought upto the 'relevant amount'

as defined in sub-section (1) of Section 64 VA of the Act, in four stages as specified in the following table :—

TABLE

STAGE DATES Excess of the value of the assets over the amount of liabilities to be rmintuined as at the date mentioned in column (2) and thereafter, ahall be not less than

(I) (2)

(3)

I 31-12-1969 Oncfoiirthofthc'rdevintamo'int' arrived at in the manner specified

in sub-sec ion (1) of section 64 VA of the Act.

II 31-12-1970 O*ie hilf of the'relevant arao'int' arrived at in the manner specified

in S'lb-'icdion (i) of section 64 VA of the Act.

III 31-12-1971 Three fo irths of the 'relevant amount' arrived at in the manner

spe.ific 1 in i'io-3e? nn (1) of section 64 VA of the Act.

IV 31-12-1972 The VilevvU am 1 mr> arrived at in the manner specified in sub- section (1) of seciion 64 VA of the Act.

(2) Where in the case of an insurer referred to in sub-rule (1) the Central Gov- ernment has, under the provisions of th; third proviso to sub-section (1) of section 64VA, extended the date of 31st December 1972 referred to In. the said proviso to a subsequent date, the excess of the value of assets over the amount of the liabilities shill be brought up to the relevant amount in four stages in accordance with sub-rule (1) but the dates mentioned in column (2) of the Table in that sub-rule shall be deemed to have been altered as follows :—

(a) the date against Stage I shall be extended by one fourth of the Interval between 31st December 1972 and the extended date;

(b) the date against Stage I( shill be extended by one half of the interval bet- ween 31st December 1972 and the extended date;

(c) the date against Stage III shill be exienJcd by three-fourths of the interval between 31st December 1972 and the extended date;

(d) in Stage IV, the extenticl d'te shMI be substituted in place of the 31st Dec- ber 1972 mentioned against that stage:

Provided that if any such altered date against stages I, II or 1)1 Is not the last ttay of a calendar month it shall h-, changed to the last day of the imme- diately preceding calendar month,

58. Advance Payment of Premiums.—For the purposes of sub-section (1) of sec- tion 64VB of the Act n risk in f - wt of a policy nriy be assumed before the premium payable in respect thereof is received :—

(0 if the entire amount of the premium is guaranteed to be paid by a Banking Company before the end of the calendar month next succeeding to the month in whi>h the risk is assumed, if the premium due is not paid by the insured before that date;

(ii) if an advance deposit is made with the Insurer to the credit of the insured sufficient to cover the payment of the entire amount of the premium together with the premium, if any, due from the insurer in respect of any other risk already assumed against such deposit, such deposit being agreed to be adjusted towards the premium before the end of the month next succeeding to the month in which the risk Is assumed, if the premium due is not paid by the insured before that date.

59. Relaxation.—In respect of the catcguiios of insurance policies mentioned here- under the requirements of sub-section (1) of section 64VB shall stand relax- ed to the extent and in the manner mentioned against each category of policy, subject to the conditions mentioned therein :—

(a) Policies issued to Government and semi-Government bodies.—The risk may be covered on such policies on the strength of an undertaking by the proposer to pay the premium within 30 days of the assumption of the risk.

(b) Policies under Sickness Insurance Scheme.—Premiums on such policies may be accepted in instalments provided that the instalment covering a parti- cular period shall be received on or before the date of commencement of the period.

(c) Fidelity Guarantee lnturunce.—Fidelity Guarantee insurance policies cover- ing Government employees from the date of appointment may be issued. (d) Policies covering risks where exact premium cannot be ascertained without reference to Head Office, Principal Office etc.—Where the exact premium for a risk cannot be ascertained without reference to Head Office, Principal Office or Controlling Office or to the Tariff Advisory Committee or Regional Committee or for any other reason, the risk may be assumed if there is a deposit made by or on behalf of the insured with the insurer at a suitable rate not less than 2.5 per mille bjt the premium in such cases shall be paid or adjusted within thirty days of the commencement of risk or, where a reference is made to the Tariff Advisory Committee or a Regional Committee, within fifteen days of the date of the advice from the Tariff Committee or the Regional Committee as the case may be, failing which the cover shall be cancelled on the expiry of the period of fifteen days. Provided that in the case of policies covering Carriers' Liability, the adjustment of premium may be made after the expiry of the policy.

(e) Declaration Policies.—Risk in respect of such policies mny bo assumed if at least the premium calculated on 75 per cent of the sum assured has been received before assumption of the risk.

(f) Policies issued on the basts of adjustable premiums—Risk in respect of policies issued on the basis of adjustable premiums such as workmen's compensation, cash in Transit etc. may be assumed on receipt of provi- sional premiums based on a fair estimate.

(Lf) Ahnual Insurances connected with aircraft hulls and connected with marine hulls.—Facilities for delayed payment of premium on such policies, or the payment of premium by maans of instalments not exceeding four in number and on the basis of an approved clause, may be allowed at the discretion of the insurer, provided that such clause is endorsed on the policy.

(h) Short period covers In respect of Insurance connected with aircraft hulls and

marine hulls.—Short period covers may be granted on such risks on a held covered basis, subject to the condition that the premium or additional pre- mium in respect of risks assumed in a calendar month shall be paid by end of the next calendar month.

(i) Policies issued for long term.—In the case of policies issued for long term, such as contract Performance Bonds or Guar inLees, Contractors' "All Risks" policies, Machinery Erection policies and the like, the premium may be staggered as necessary according to customs, over the period of the cover, provided that the first equated instalment is higher than any other instalment by at least 5 per cent of the total premiums payable and each instalment is paid in advance. Where the premiums arc payable by decla- rations, they may be paid within 15 days; from the dates of receipt of declarations,

(j) Schedule and Consequential Loss Policies.-—In such cas<;s a provisional amount towards the premium shall be collected before the date of inception or renewal of risk on the basis of the previous year's premium.

(10 Marine covers othzr than Hulli^~{\) Tn the case of inland shipments and transit risks, risks may be assumed under open policies in respect of seaso- nal crops such as t;a, on the payment of a provisional premium based on a fair estimate.

(ii) In the case of exports overseas, risk may be assumed subject to the condi- tion that the premium shall be paid within 15 days from ihe Jate of failing of the overseas vessel.

(in) In (he c:u>e of imports, risk may be assumed subject to the condition lhat ihe premium shall be pai'd within 15 days of the receipt of declaration in India from the insurer's or insured's representative overseas:

Provided that the relaxations under sub-clauses (ii) and (rii) shall apply to marine cover notes only and not to marine policies.

(1) Policies relating to co-insurances.—The premium shall be deemed to have- been duly paid if paid on the full insurance to any one of tho co-insurer*

Consultative Committee

60. Term of Office Any person nominated as a member of the Consultative Com- mittee constituted under sub-section (1) of section 110O of—the Act (here- after in this rule and rules 61 to 65 referred to as the Committee) shall hold office during the pleasure of the Central Government and subject thereto for a period not exceeding three yeais or such further periods not exceeding three years at a time as the Central Government may specify-

61. Resignation and filling of casual vacancies.—(1) Any member of the Committee may resign his membership ot the Committee by notice in writing addressed to the Secretary to the Government of India, Ministry of Finance (Depart- ment of Revenue and Insurance) to that effect and such resignation shall take effect from the date on which it is accepted by the Central Government.

(2) Casual vacancies' in the Committee whether caused by resignation, death or otherwise, shall be filled by nomination by the Central Government.

62 Secretary.—The Central Government may appoint a secroteary to the Com- mittee for the purpose of performing such functions as are assigned to him by these rules or as may be assigned to him by the Chairman of the Com- mittee

63- Procedure for the conduit of business of the Committee.—Procedure for the conduct of business of the Committee shall be as follows, namely:—

(1) Meltings of tin Committee.—Meetings of the Committee may be held at such places ;ind ;t s-uch limes as may be decided by the Chairman of the Committee.

(2) Notice of Meeting—Nnli.J of any meeting of tho Committee shall be sent by the Secretary oi ihe Committee to every member at least seven days before the date ol the meeting.

(3) Quorum fur th" meeting. -Two members in addition to the Chairman shall

constitute quorum for a meeting.

(4) Adjournment of a meeting—If the requisite quorum is not available within half an hour of the appointed time for a meeting, the Chairman may ad- journ the meeting to such date and time as he may decide.

(5) Chairman to preside 'it mccunq.—The Chairman shall preside at all meetings

of the Committee.

(6) Record of deliberations. --The results of the dclibeiations of every meeting shall be recorded in the form of a note explaining, in brief, the matters referred to the Committee and the recommendations thereon of each of the members present. Such record sh.ill be signed by the Chairman und the members present.

(7) Circulation.—Any matter Cor consideration of the Committee may at the discretion of the Chaiiman be referred to the members for suggestions by circulation as an alternative to convening a meeting for the purpose.

64. Allowances payable to members of the Consultative Committee.—-(1) Every non-official member shall be entitled for attending meetings of the Com- mittee to travelling and other allowances as under:—.

(i) travelling allowance for journeys from the usual place of residence or the place of commencement of the journey to the place of the meetine and the return journey to the place of commencement of the journey or the usual place of residence, whichever is shorter in each case, at the maximum rate for the time being admissible to a Central Government servant of the first grade. Subject to the foregoing, the member shall bs entitled to travel either by air-conditioned class or hy air;

(ii) daily allowance at the maximum rate for the time being admissible to Central Government servants of the first grade at the place of the meeting for the days on which the meeting is hold and in respect of one day previous to the commencement of the meeting and one day after the meeting if the member actually arrives on or before and leaves on or after the respective days.

(2) The travelling allowances and daily allowances of an official member shall be governed by the rules for the time being applicable to him for lourneys performed on official duty.

65. Fees of Members.—A non-official member shall be entitled to a fee for attend- ing meetings of the Committee of Rs. 100 for each day of the meeting ".

16. In the said rules, the existing Schedule shall be renumbered as Schedule I thereof and in the "cbcduk I as so renumbered,—

(a) After Form IV-A, the following Form shall be inserted, namely—

"FORM IV-AA

[See rule 10 C (3)]

Return of investments of the assets of the (insurer) as at 19 . (See Section 28B(r> of the Act)

(Please sec the notes appended to the form)

PAKT A. (Investments approved under section 27B(i) of the Insurance Act, 1938).

(1) Government securities and other securities charged on the revenues of the Central Govern- ment or of a State Government or guaranteed fully as resards principal and interest by the Central Government or a State Government and specified as approved securities by the Central Govern- ment.

Full description Date of Date of Rate of Face Book Market Remarks of the security purchase Maturity Interest Value Value Value

(2) Approved securities other than those referred to in item (1) above [Sec section 2(3) of the Act]

Full description  Date  of   Dite  of   Rate of     Face       Book      Market     Remarks
of the  security Purchase    Miturity   Interest    Value      Value      Value

(i) Securities iwi"1 VJ f'i: T-ivern-n^it of m C T P ' -V I it-He Tn 'ia.

Full de""-r>fjon Oite TF '")II" V" Rite oF Rice I nk Market Remarks of the secuHty P irs'i ne M r r i ty T ^ r c it ViVi" Vil'is Value indicating ihe name of the

country

(4) Debentures or ofher se-Mrities FJ¹" Tm'iv iss-i; 1 with the Dcrmmion of the State Govern- ment by inv M'lii'MnsOiry in " St;sfc.

[S". j-::i3T 27-B(t)(a) of the A.^tl

Full description Ditc of Oite oF Rite if Ficc ^ook Market Remarks of the Debenture Purchase Miturlcy Interest Value Value Value or Security

(5) Dibenturc3 or >' \— .m-\-'w For m n ey issue 1 by any authority constituted under any housing or b lilding scheme m n v d b? the Central Givernmentora State Government or by any authority or body con.uk i:e 1 by iny Central Act or Act oF a Stitc Legislature,

[See lecMon 27-B(T) (a) of the Act]

Name of the Name of the Date of Maturity Rate of Ficc Book Market Remarks housing or Govt. approv- invest- date of Interest Value Value Value • building ing the scheme ment the De-

•-cheme or the Act. un- bentnres

dcr which the or security scheme is con- stituted

(6) First Mortgages on Immovable property situated in India under any housing or building

Scheme of the insurer approved by the Central or a State Government.

[Sw section 27-B(i) (a) of the Act]

Location of Value of the Amount Date of Rate of Name of Amount out- Remark*

the property property (date advanced Advance Interest the State standing

approv- —•—•

oflastvalua-

tion of the

property)

ing the Principal Interest*

scheme

and date

of ap-

proval

•If outstanding for more than one year the fact should also be stated.

(7) Immovable Property situated in India or in any country where the Insurer Is carrying am

insurance business.

[Stt section 27-B(i) (a) of the Act]

Situation of the Land or Whether Date of Amount Net An- Whether Remark's

property Building land k Purchase invested nual Ren- free from

or both lease-hold by the tal value all encum-

or free- Usurer of the branocs

hold property

"".#. net of

taxes main-

tenance,

deprecia-

tion etc.

(8) Fixed deposits with Banks included in the second Schedule to the Reserve Bank of Indl

Act, 1934,or Co-jperative Societies registered under the Cooperative Societies. Act, 1912 or any

othorlawforthetimeboinginforcetheprimaryobjectof whichls to finance Co-operative societies

similarly registered.

[Stt section 37-BC1) (a) of the Act]

Name of the Bank or Date of Rate of Period of Amount of Whether Remarks

Cooperative society Deposit Interest Deposit Deposit Section

with addiessea

27-Bfio)

satisfied

<9) Debentures and Shares of Co-operative Societies registered under the Cooperative Societici Actj 1912, or any other law for the time being in force.

[Set section 27-BC1) (a) of the Act]

. . Remark* Name and Date of Date of Debentures Share* address of purchase maturity Society of De- Face Book Market Face Book Market bontures Value Value Value Value Value Value

(10) Debentmes secured by a first charge on any immovable property, plant or equip- ment, of any company which has paid interest in full for three years immediately preceding or for at icast three out of four or five years immediately preceding on such or similar deben- ture* issued by the company,

[See section 278(1) (b) of the Act]

Name  of     Date    of   Date  of pur-  Whetner  the    Rate of   Face    Book     Mar-    Rema-
the  Com-    iSslie1  of chase by  the charge in on interest Value Value ket rk*
pany         debenture    insuser        properly,                                 Value

plant on

equipment

(11) Debentures secured by a first charge on any immovable property, plant or equipment of any company where, either the book value or the'market value, whfeheveris less, of such property, plant or equipment is more than twice the value of the debentures.

[See section 27-B (1) (c) of the Act]

NanM~of the Date of Date of Rate of Faco $ , r BookVJ38 Market Remarks Company purchase Maturity interest Value ' Value \ Value

bentures

P of the de-

(12) First debentures secured by a floiting charge on all its assets or by a fixed charge on fUsl isi.-ts mi (buinj?chir,jeonaU other assets ofarkycompiny which has paid dividends on its ei iuy ,"nrj, fjr t i: thre; yeirt ITITI; ihcely preceding or for at least three out of the four or five y^in i-nn-llately preceding the date of the investment.

(Set section>7-B (1) (d) of the Act)

Name of the Date of Date of Rate of Face Book Market Remarks company purchase maturity interest Value Value Value

by the ofdeben- insurer turers

(13) Preference shares of any company which has paid dividends on its equity shares for the three v; w i-n-niiiatcly preceding or tor at least three out of four or five years Immediately pre- ceding.

(Set section 27-B (1) (e) of the Act)

Name of the Date of Rate of Whether Face Book Market Remarks company purchase Interest redeem- Value Value V"lue

by the able and insurer if so d"te

of re- demption

(14) Pr"feraacc sh^rci of any company on which dividends have be"n paid for the three year*, iinrieiiately preceding or for at least three out of four or five yean immediately preceding and whiih have priority in payment over all the equity shares of the company in winding up.

(5"" section 27-B (1) (f) of dw Act)

Name of the Date of Rate of ^Whether Face Book Market Remark* company purchase Interest redeem- Value Value Value

able and

if so date

of redemp-

tion

(15) Shares of any company which have been guaranteed by another company inch other

company having paid dlvidonds on its equity shares for the three years immediately preceding or

for tt least three out of the four or five yeats immediately preceding,

(Set section 27-BC1) (g) of the Act)

Name of the Name of Date of Face Book Market Whether Remark*

Company the gua- purchase Value Value Value proviso to

ranteelng

Company

Sec. 27-B

(1) (g)

compiled

with

(16) Shares of any company on which dividend! of not lets than four per cent. Including bom*

have been paid for the three year* Immediately preceding or for at least three out ol the tour ["r

five years Immediately; preceding.

(SM section 37-B(i) (h) of the Act)

Maine of the Date of pur- Face Value Book Value Market Value Remark*

company chaie

(17) First Mortgagei on immovable property situated in India or In any other country whert

the insurer it carrying on insurance business.

[Sn lection 27B (t) (i) of the Act]

Situation of the Whether Whether Outstand- Outstand- Type of Date of Value of

property and land or land ii ing period ing period mortgage mortgage the land

name of the buildings lease-hold ofthc term of

owner or both or free- mortgage the lease,

hold if property if the pro-

is lease- perty is

hold lease-hold

Value of the Date of Amount advanced on Rate of Outstanding amount Remarks

Buildings last valua- the Mortgage interest

tion of the Principal Interest

property Land Building*

and name

of the

Valuer

(18) Other Investments notified under clause 0) of sub-section (1) of section 27B of the Act,

Descri ption of Date of Face Book Market Interest or dividend Remarks

the Investment purchase Value Value Valua paid last

$44 W& Q*&f™ 9* PftflA IflggjLftpKflfoARY pptzflr-

PART B

[Relating to invcsiments held invested under Section 273(3) of the Insurance Actj 1938 In

tetpect of which a resolution has been adopted in terms of that section!

(1) 25 per cent of the assetj referred to in sub-section (3) of section 27B of the Act CJTJ mated

Bi^at the date of this return.

(2) Particulars of investments.

surer in- tors (6) satii-

tcrcsted tied

in the in-

vestment

Name of the _ Date of Date Face Book Market Name of Extent of Whether Remark*

Company purchase of Value Value Value Director* interest Sec. 27B

whose shares fc Maturity of the in- of Drrec- (4), (5) and

or debentures

ire held by the

insurer "nd

degcription of

Investments

TdTAL

PART C

I'articulars of investments other than those shown in Part Aj Part B and Part D and not tmtia-

frinjj the requirements of sub-sections (1) and (3) but complying with the requirements of tub-

sections (4) and (5) of "ecticn 27B of the Act.

Full description Date of Face Book Market Name of Extent Remark*

of the investment invest- Value Value Value the Direc- of lntereit

(including the ment

ntme of the Co.)

tor* of the of Direc-

Insurer tor*

interested

in the In-

•e*tment

PART D

Particular* of Investments not satisfying the requirements of sub-sections (4) and (5) "f

section 27B of the Act.

I

. in the in- Company indicate

Pull des- Total Amount held invested in Date Names of Extent If the in- Remarks

cription of Value earcess.of the requirements of the Direc- of each vestment

thelweest- of the of In- tors of the Direc- is shown

ment 0ri- InVest ., . . ' . '" Test- insurer tor's in Bart A

eluding the ment Sub—section Sub-section ment who-are interest or B-ofthe

;W"ne<>fthe (4) (5) intere$ted in the statement

Company in

which tares- Clause Clause Clause Clause vestment it by

ted) 00 (b) C") (b)

cri?si,i"-

fer^w*

II

Particulars of investments not satisfying the requirements of sub-section (6) of section 27B of

the Act.

H""s of the Com- Date of Eace Book Market Name o£Di- Extent of Remarks

&t& Investment Value Value Value rectors of In- Directors

surer interest- interest

ed in the pri-

vate Company

I hereby certify that the particular* furnished in the return are true and complete to

my knowledge.

Date:

Principal Officer.

"NOTES"

I. (a) Market value of securities, debentures, shares etc should be ascertained fro"

published quotations. Where published quotations are not available, it should be stated

in the remarks column how the market value have been arrived at-

(b) If "accrued interest' has been added to the market value, it should be so stated

in the remark! column.

(c) In the case of shares and debentures of Companies, the location of the Companies

should also be stated.

(d) In the case of mortgages of property and properties owned by the insurer, location

of each property should be separately stated.

(e) In the case of investments made on and after the 31st December, 1968, the data

of purchase should be given.

n. In respect of investments in Fart A of the statement, investments which were ap-

proved at the time of the last statement but ceased to be so subsequently should be distinctly

marked by double asterisks.

HI. Investments held in deposit under section 7 of the Act should also be included

in the return.";

(b) after Form IV-B, the following Form shall be Inserted, ntjnely:—

"FORM N O. IV-BB

[Set Rule No. ioC(4).]

Return showing all the changes that occurred in the investments of the asscti of

Insurance Company Ltd, during the quarter ending

ip

[Stt lection 38BC2) of the Act]

(1) Purchase* and other additions during the quartor ending 19

Full des- Date of Purchase Face Book Market Staten State whether

eription purchase Price Value Value Value whether the additions

the invest-" to the existing

of the or

Isrestmeiit. addition

ment holding, if any,

complies would attract

with sec. Sec. Z7B(4)or

37B(D (5)

(2) Sates and other deductions during the quarter ending 19 .

Full des- Date of Sale price Amount Face Value Book Value Date of urchase price

cnpcionot Sale realised of Invest- of the purchase oftheinvctt-

the invest- or by the ment sold, investment of the ment now

ment dispoial Sale sold investment told.

now iold*

* To bo given in the case of investments made after 31 it December, 1968. If made before

the said date it may be so stated in the columns. Also Note i(a)to i(d) in FormlV-AA";

(c) in Form V, for the words and figure "Government of India Insurance Stamps for

"Ri. 5/-", the words and figure "Government of India Insurance Stamp for Re. 15/-" ihall be lubi-

tituted; H

(d) in Form V-A, in note s, for the word and figure "Rs. 5" and "Rfc 2" the wordand

figures "Rs. 15" and "Rs. 7" shall respectively be substituted;

(e) in Fo m V-P, for the words and figure "Government of India Insurance Stamp

for Rs. 5/-" words and figure "Government of India Insurance Stamp for Rs. 15/-" shall bo

lubstituted;

(f) in Fom V-P A, in note J, for the word and figure "Rs. 5" and "Rs. 2", the word and

figure* "Rs. 15" and "Rs. 7 shall respectively be substituted;

(g) in Form V-S, for the words and ; ure "Government of India Insurance Stamp for

Ri. 5/-", the words and figures "Government of India Insurance Stamp for Rs. 15/-" ihall be

substituted;

(h) inFonnV-SA,—

(t) for the words and figure "Government of India Insurance Stamp for Rs. 5/-*\ the

words and figures "Government of India Insurance Stamp for Rs. 15/-" shall be

substituted; j

(it) in note 5, forthe words and figure "Rs. 5" and "Ri. 2", th" word and figures "Ri. if"

and "R". 7" shall respectively be substituted;

(i) in Form V-SS, for the words and figure "Government of India Insurance Stamp for

Rs. 5/-", the word 1 and figures "Government of India Insurance Stamp for Ri. 15/-" ihall be

jutntiruted; -1

()) In From V-SSA,—

(1) For the words and figure "Government of India Insurance Stamp for Rs. 5/-",

the words and figures "Government of India Insurance Stamp for Rs. 15/-" ihall be

eubstituded;

(M) in note 5, for the word and figure "Rs. 5/-" and "Ri. 1/-", the word and flgurei

"R".i5/-"and "Ri.7/-"'ihallrespectively be substituted;

(k) after Form V-G, the following Form ihall be substituted namely :—

"FORM V-GG"

( 5M Rule 17-AA)

From

(Name)

(Occupation)

(Address)

To

The Directon>

Insurance Co. Ltd.,

In connection with iharei Ho*. ofyour companjitandlnf in jour ahare register

in the name of (turn ) (occupation) (addieta)

I hereby lolcmnly dcclaze that out of the above iharei.

(1) I am the sole beneficial owner of shares Noa. and 1 acquired the beneficialinterest before the commencement of the Insurance (Amendment) Act, 1968 (62 of 1968).

on the day of

19

(ii) in respect ofihares No". (occupation)

and (name) (address)

I and (name) (address) (occupation) are joint beneficial

owners, my interest in these shares being limited to and was acquired before the commencement of thclnaurance (Amendment) Act 1968.

on the day of 19

Made on day the 19 it in the preience of

(Witness) signature Name and Address. Signature.

I,

of

in whose name the Shares N01. of your company stand in your share register, hereby recognise in full the interest claimed in respect of the said sharei and in token thereof have countersigned the iboTe declaration.

Signed on the day of th" 19 In the presence of (Witness) Signature Name and Address,

Signature";

(1) after Form XVI, the following Formi shall be i n 1 ^rtcd namely:—

"FOKM No. XVII

(Set Rule 40)

Warrant of Authorisation under section 34 H of tht Inmranct Act, 1038 and Rule 40 of th"

Insurance Rules, jjyp.

Shri

Name* Designation of the Officer

Whereat information has been laid before me and on the comiderttion thereof, I have reason to believe that

a requisition under lub-section (2) of section 33 of the Insurance Act 1938 by to (name of the person) was served on (date) to produce or cause to be produced the books, accounts and other documents specified in the requisition and he has omitted or failed to produce or causeto be produce! such books, accounts or other documents as required by such requisition.

a requisition under tub-section (2) of section 33 of the Insurance Act 1938 by

to • .(name of the person) was served on. (date) to produce or cause to be produced the books, accounts and other documents specified in the lequdsfllo'n and he will iJot produce or cause to be produced such books, accounts, or other docu- ment* a* required by such requisition.

a contravention of the provisions of section

this Act has been

committed or it likely to be committed by

Name of insurer. %

Claim No

: under Policy No

in the

date of

insurance business which is due to be settled by

Name of Insurer.

has b^en or is Likely to be settled at a figure higher than a reasonable amount,

Claim No

under Policy No

in the insurance business which is due to be settled dais of by Name of insurer has been or is likely to be rejected or settled at a Agore lower than a reasonable amount.

*£T£$] "' 4tte 0A2ltfm Ot 1NDU IDrtiA^ltJittfAllY 549.

An illegal rebate or commission has been paid or is likely to be paid by

Name of insurer.

in respect of

attached list b:longmg to

the b^oks, accounts, receipts, voucheMj survey reports or other documents, speciled in the aro likely to be tampered Name of the insurer.

witlx, falsified or manufactured.

And wher=as I have r=ason co

(Specify particulars of the building or place) Thii is to authorise and require you , (name of authorized officer):—

(a) to enter and search the said premises: (6) to place identification marks on such books, accounts and documonts as may be found in the coune of the search and as you may consider relevant to or useful for the purposes of or the investigation of matters aforesaid and to make a list thereof together with particulars of the identification marks:

(c) to examine such basks, accounts and documents and make, or cause to be made 3 copies or extracts fr^m such books of account and documents;

(d) to sciao any such books, accounts or documonti, found as a result of such search and take possession thereof;

(e) to convey luch books, accounts or documents, to

(Office).

(f) to oxircise all other powers and perform all other function* under section 34H of thi Insurance Act, 1933 and the rules relating thereto.

You may requisition the services of any Police Officer or any officer of the Central GoYern- racat, or of both, to assist you for all or any of the purpose* specified in sub-section (I) of fiection 34H of the Insurance Act, 1938.

CONTROLLER OF INSURANCE.

FORM XVIII—AF

Application from a Firm or Company for a Licence to Act at a SurveyorjLoi! Aueuor

(See rule 56)

The Controller of Insurance,

Simla-4.

Dear Sir.

It is requested that a licence to act as a Surveyor/Loss Assessor m"y bo granted to our Firm Company.

2. The receipt No dated from showing payment of fees of RE. 250 is enclosed.

3. *It is hereby declared that—

(i) any partner of our Firm/ajiy Director of our Company has not been found to be of unsound mind by a Court of competent jurisdiction;

(ii) any partner of our Firm/any Director of our Company has not been found guilty of criminal mis-appropriation or criminal breach of trust, or cheating or forgery, or an abetment of or attempt to commit any such offence by a Court of competent juris- diction;

(iii) any partner of our Firn/any Director of our Company has not been found guilty of or to have knowingly partic'patcd in or connived at any fraud, dishonesty or mis-

*Sttfte outpc*ti6n8 not required.

representation against an Insurer or an Insured in tho course of any Judicial proceed-

ings relating to any policy of insurance or the winding up of an insurance company or

in the course of an investigation of the affairs of an insurer; and

(iv) any partner of our Firm/any Director of our Company is not a minor.

4. It ia also declared that the particulars given below are true.

I. Full name of the applicant I. Company/Firm

(In Block Letters)

%. Full Address

a

3. The names of all the patners/Directors, with 3

their addresses stating in each case the date

of birth and whether the partner/Director

claims to—

(a) have been in practice as a surveyor/loss (a)

assessor on the 26th October, 1968 ; or

(b) hold a degree of a recognised university in (b)

any branch of engineering; or

(c) be a fellow or associate member of the Ins- (c)

titute of Chartered Accountants of India

or Institute of Cost and Works Accoun-

tants of India ; or

;

(d) possess actuarial qualifications or hold a (d)

degree or diploma of any recognized Uni-

versity or institute in relation to insurance,

or

(c) hold a diploma in insurance granted or (o)

recognized by the Government.

(N.B.—In the case of each of the partners/ Directors claiming to come under (a) above a declaration in the form given in (If the space above ii insufficient particmlM* the Annexurc to this Form duly filled in may be given in a separate sheet whiA and sworn before a Magistrate, Notary should be signed by the applicant) Public or Justice of the Peace should be forwarded with this Form and in the case of each of the partners/Directors claiming to come under any one of (b) to (e) above, the original diplomas/certi- ficates with one attested copy each should be enclosed. The original diplomas/ certificates will be returned after perusal).

4. Did the Firm/Company ever hold a licencd ifso 4

state number and date. No Date

Yours faithfuUy,

Signature of applicant

Name of place

Dated the 19 . Designation

(See notes on the reverse)

Name of Finn/Company

ANNHXURB

I Son/Daughter/Wife of hereby declare that MI

the 26th day of October 1968 I was in practice as a surveyor/loss asseasor in respect of genenl

insurance business in my individual capacity/as a partner/Director of (name of Firm).

I also declare that I have/the firm has/the company has acted as lurreyor/kMt

Assessor and have/has signed a survey/losi MWfument report in respect of the following* >-

1. Insurance Co.

2. Class of Insurance butlnetl.

3. Policy No. and claim No.

4. Date of report.

Signature of th" applkaat.

Place

1 Date

The above declaration was sworn before me by Mr/Mrs./Miss

of w no who is identified by Mr./Mts./Mi33 is known to me.

Signature & Seal of Magistrate, Notary Public

or Justice of the Peace.

Place Date

•The applicant must give details of a recent survey/loss assessment report signed by him/ the Firm/the Company as a surveyor/loss assessor.

NOTES

1. The attention of the applicant is drawn to section 104 of the Insurance Act, 1938, which provides that whoever in any document required for the purposes of any of the provisions of that Act, wilfully makes a statement false in any material particular, knowing it to be false, shall be puni- inable with imprisonment for a term which may extend to three years or with fine which may extend to one thousand rupees, or with both.

2. A firm or company can apply for only one licence which will entitle it to act as a surveyor/ lorn assessor.

3. Any correction or alteration made in any answer to the questions in the application should be initialled by the applicant,

4. A fee of Rs, 250 should be paid into the Reserve Bank of India or where there is no office •f the Reserve Bank of India, into the State Bank of India acting as the agent of the Reserve Bank "f India or into any Government Treasury for credit under the head "XXI—Miscellaneous De~- pMtment

5. Payment in CASH OR BY MONEY ORDER, CHEQUE, POSTAL ORDER, POSTAGE OR INSURANCE STAMP OR BANK DRAFT, is not accepted and will be returned at appli- cant's cost.

6. No acknowledgment of this application will be sent. If one is required the application- thould be tent by registered post (acknowledgment due).

Nit T r w t o i b b.

FORM XVIII—AAF

GOVERNMENT OF INDIA

(Office of the Controller of Insurance)

LICENCE No

(See rule 56)

Lic*ite" to Act M a Surveyor!Loss Autuor undtr part IIB of the Ifiiuranc* Act, Tfjt.

Nanae

Add ran

having paid the prescribed fee and having made the necestary declaration in hereby authorised

uadei section 64 UM of the Insurance Act, 1938 to act at surveyor/loss assessor for five years frotni

This Licence will expire on

Simla, dated the 19 . Controller of Insurance.

Seal of the Firm/Company

(See notes on the reverse)

NOTES

1. If it is desired to renew this licence for a further period, the procedure laid down, in rule 56 of the Insurance Rules 19391 shall be followed, and an application for renewal should reach the Controller of Insurance thirty days before the licence expires.

2. This licence authorises the licence holder to act as a surveyor/loss assessor for any regis- tered insurer and therefore, no identifying mark or note of any description by which the Identify of an insurer might be established should be placed on the licence.

3. No correction m this licence will oe valid unless initialled by the Controller of Inturance or a person authorized by him in this behalf.

FORM XVIII—AI

APPLICATION FOR A LICENCE TO ACT AS A SURVEYOR/LOSS ASSESSOR

(See Rule 56)

To

The Controller of Insurance,

Simla-4.

Dear Sir,

I request that a licence to act as a surveyor/loss assessor may be granted to me.

2. I enclosed the receipt No dated

from the "howing payment of the fees of Rs. 250.

3. *I hereby declare that :_

(i) I have not been found to be of unsound mind by a Court of competent jurisdiction; (ij) I have not been found guilty of criminal misappropriation or criminal breach of tru" t or cheating or forgery or an abetment of or attempt to commit any such offence by a Court of competent jurisdiction ; and

(ill) I have not been found guilty of or to have knowingly participated in or connived at any fraud, dishonesty or misrepresentation against an insurer or an insured in th" course of any judicial proceeding relating to any policy of insurance or the winding up of an insurance company or m the course of an investigation of the affairs of "m insurer; and

4. I also declare that the particulars given below arc true.

(In block letters)

(1) Full name

(1) "Mr

•Mrs •Mies

(2) 'Father's /husband's name (2)

(3) Full address

(3)

(4) Date of birth ol the applicant in (4)

Christian Era.

(5) Whether the applicant has been in (3) practice as a Surveyor or loss asse- ssor on the 26th October 1968 (say fYes' or 'No') (If the answer is in the affirmative the declaration in the Annexure to this form should be filed in and duly sworn before a magistrate, Notary Public or Justice of the Peace.)

f 6. Qualifications : (6)

Whether the applicant poosessci any of 1 he following qualifications; if so give details and also enclose the original diplomas/certiflcateij together with attested copy of each.

(The original diplomas/certificates will be returned after perusal)

(a) holdi a degree of a recogniz- (a) ed University in any branch of engineering;

(b) is a fellow or associate mem- (b) bcr of the Institute of Char- tercd Accountants of India or the Institute of Cost and Works Accountants of India.

(c) possesses actuarial qualifica- (c) tions or holds a degree or diploma of any recognited University or institute in relation to insurance,

fd) hold* a diploma in insurance (d) granted or recognized by the Government.

(7) Have you ever held a licence ? if (7)

90, state No. and date. No

Date of iiiue

•Strike out portion not required.

fThis need not be filled up, if answer to (5) i" 'Yes'

Youn faithfully,

Signature of applicant.

Dated the

(See notes on the reverie)

Annexare

I Son/Daughter/Wife of

h e r e b' declare that on the 26th day of October 1968 I was in practice u • surveyor/low utetior In reipecc of general insurance business. I also declare th"t I have acted as surveyor/loss MicMOr and have nigixd a survey /losi assessment report in respect of the following* —

1. Insurance Co.

2. Class of Insurance business. 3. Policy No. and Claim No.

4. date of report.

Place

Signature of the applicant.

D"te

The above declaration was sworn before me by Mr./Mr"/Miss F h* of whi is identified by Mr./Mrs./Miss/ ii known to me.

Signature & Seal of Magistrate, Nottrr Public Justice of the Peace.

Place

Date

• T . i: a^TjlicAit mm: %lv 1-riih of a recent aurvey/losa assessment report signed by him m> a surveyor/loss assessor.

NOTBS

1. The attention of the applicant is drawn to Section 104 of the Insurance Act, 1938, which piovidesjthat whoever in any document required for the purposes of any of the provisions of that Act, wilfully mokes a statement false in any material particular, knowing ft to be false, shall be pUn- uhable with ltmnsonment for a term which may extend to three years or with fine whici may extend to one thousand rupees Or with both.

2. An Individual can apply for only one licence which will entitle him to "ct as a surveyor^ lots assessor foi any imurer.

3. Aay correction or alteration made in any answer to the questions in the application should be initialled by the applicant.

4. A applicant must be at least 18 years of age on the date of submission of the application. la the case of an applicant declaring hi a age as 18 years, the exact date of birth should be given tad in all other cases j either the exact date of birth or failing that the year of birth should be stated "f"fnst item 4 of the application. If required the applicant shall furnish proof of age.

5. A fee of Rs, 250 should be paid into the Reserve Bank of India or where there is no office of the Reserve Bank of India, into the State Bank of India acting as the agent of the Reserve Bank of India or into any Government Treasury for credit under the head '^OCI-MlscellaneoUs De- partments—Fees realised under the Insurance Act, 1938" and the receipt shall be sent along with this application,

6. Payment in CASH OR BY MONEY ORDER, CHEQUE, POSTAL ORDER, POS- TAGE OR INSURANCE STAMP OR BANK DRAFT i" not accepted end will be returned at applicant's cost.

7. No acknowledgment of this application will be sent, If one is required, the application should be "ent by registered post (acknolcdgment due).

Not Transferable,

FROM XVIII —AAI

GOVERNMENT OF INDIA

(Offlce of the controller of Insurance licence No.)

(Sec rule 56)

Uemee to act as a ntrv$yorjlosi asstttor tinder part IT B of the Insurance* act, 1938

U*

Mis

M iM

Address

kavlna Paid the prescribed fee and having made the necessary declaration is hereby authorised under * ct ion 64UM of the Insurance Act 1938 to act as a Surveyor/Loss Assessor for five years

from This Licence will, expire on SinJt, d"ted the 19 . Controller of Insurance

Signature of licence-holder

(See notes on the reverse)

NOTES

T If it is desired to renew this licence for a further period, the procedure laid down in Rule <" of the Insurance Rules, 1939 shall be followed and an application for renewal should reach the Controller of Insurance thirty days before the licence expires.

2 Thislicence authorises th= licence-holder to act as a surveyor/loss assessor for any regis- tered insurer and thorofoM, no identifying mark or note of any description by which the identity of in insurer might be established should be placed on the licence.

3. No correction In this licence will b? valid unless initialled by the Controller of Insurance ox • person authorised by him in this behalf.

FORM XVIII—BF

Application Jroin a Jinn or company Jor 1 enetoal of a licence to aa as a surveyor I loss aueisor

(See ruje 56)

From

Name of Applicant

•••••*

(In Block Letters)

FullAddreSi

(In Block Letters)

To

The Controller of Insurance, Simlu-4.

Licence No

Date of expiry

Dear Sir,

Itis requested that the above, licence may be renewed for a further period of five years.

a. Receipt No dated

from the

showing payment of Rs. 200 is enclosed.

3. *It is hereby declared that

(1) any partner of our Firm/any Director of our Company has not been found to be of unsound mind by a Court of competent Jurisdiction;

(ii) any partner of our Firm/any Director of our Company has not been found guilty of criminal misappropriation or criminal breach of trust, or cheating or forgery, or an abetment of or attempt to conimir any such orlence by a Court of competent Jurisdic- tion ;

(ui) any partner of our Firm/any Director of our Company has not been found guilty of or to have knowingly participated in or connived at anyfraud, dishonesty or misrepre- esentation against an insurer or an insured in the course of any judicial proceeding rela- ting to any policy of insurance or the winding up of an insurance company or in the course of an investigation of the affairs of an insurer; and

(iv) any partner of our Firm/any Director of our Company is not a minor.

4. It is declared that e.ich one of clu pjnners/Director of the firm who was a partner/Direc- tor when the above-niMKioned licence was issued and who JS now a partner/Director continues to satisfy the requirements of clause (P) of sub-section (a) of section 64UM of the Act.

5. It is also declared chut the particulars given below are true.

5. The name of all th; uaruitirs/Dircctors, with their addresses, are given below, stating in each case the date of birth and whether the partner or Director claims to

(a) have been in practice as a surveyor/loss (a)

ussessor on the 26th October, 1968, °r

(b) hold a degree of a recognised university (b)

in any branch of engineering, or

(c) be a fellow or associate member of the (c) Institute of Chartered Accountants of India or Institute of Cost and Works Ac- countants ol India, or

(d) possess actuarial qualifications or hold a (d) ,

degree or diploma of any recognised Uni- veriity or Institute in relation to Insu- rance, or

(e) hold a diploma in insurance granted or (e)

recognised by the Government.

*Strik* out potions pot required.

(N.B.—In the case of each of the partners/Directors who was not a partner/Director on the date of the last application for licence (i) where he claims to come under (a) above a declaration in the t'orm given in ch: Aanexure to this Form duly filled in and sworn before a Magistrate/ Notary Public or Tustice of the Peac-; should be forwarded with this form and (ii) where he claims to come under any one of (b) to (c) above- the originaldiplomas/certificates with one attested copy should be enclosed. The original diplomas/certificates will be returned after perusal).

Yours faithfully,

Dated the 19. Signature of applicant

Designation;

Name of Firm/Company

Please see notes below).

ANNEXURE

I,

son/daughter/wile of , hereby declare that on the 26th day of October 1968 I was in practice as a surveyor/loss assessor in respect of general'insu- rance business in my individual capacity as a partner/Director of (name of firm). I also declare that have/I the firm has/the company has acted as suryeyoryloss assessor and have/has signed a survey/loss assessment'report as surveyor/loss assessor in respect of the following* :—

1. Insurance Co. 2. Class of Insurance business. 3. Policy No. and claim No. 4. Date of report.

S ignature of the applicant, Place Date

The above declaration was sworn before me by Mr. 'Mrs./Miss

of who who is identified by Mr./Mrs./Miss is known to me.

Place Date

Signature & Seal of Magistrate, Notary Public or Justice of the Peace.

*The applicant must give details of a recent survey/loss assessment report signed by him/ the firm/the company as a surveyor/loss assessor.

NOTES

1. The attention of the applicant is drawn to section 104 of the Insurance Act, 1938 which provides that whoever in any document required for the purposes of any of the provisions of that Act, wilfully makes a statement false in any material particular, knowing it to be false, shal 1 be puni- shable with imprisonment for a term may extend to three years or with fine which may extend to one thousand rupees, or with both.

2. The name and the licence number siven in the application should be identical with those nnown the licence held. If there is any subsequent change in the name,the reasons for the same should be stated furnishing documentary evidence for the same,

3. Any correction or alteration 'nude in the application should be initialled by the applicant.

4. The application should reach the Controller of Insurance thirty days before the expiry of thchcence held by the applfcanr. II rhe application doe.

5. A fee of Rs. 20 3 should be paid iuLo the Reserve Bunk of India or where there is no office of the Reserve Bank of India, into the State Bank of India acting as the agent of tile Reserve Bank of India or into any Government Treasury for credit under the'head "XXI—Miscellaneous De- partments—Fees realised under the Insurance Act, 1938" and the receipt shall also be sent along with this application,