Section 54: Approval required for transfer and amalgamation

54. Approval required for transfer and amalgamation (1) Nothing in this Part shall preclude the application of Parts XVI and XVII of the Companies Act, except that before approving an amalgamation, each amalgamating company shall obtain the approval of the Commission. (2) No transaction to which an insurer is a party and which constitutes an agreement by which all or any part of the business of an insurer is transferred to another person, or by which an amalgamation is effected, shall have effect without the approval of the Commission. (3) Any arrangement entered into between 2 or more insurers whereby a liability of any insurer towards policy holders is to be substituted for a liability of any other insurer towards such policy holders, whether or not the liability of the insurer is expressed in or created by existing policies or by new policies, or the terms of such new policies are the same as or different from the terms of the original policies, shall be deemed for the purposes of this Part to be a scheme for the transfer of the insurance business concerned, except where the Commission is satisfied that all the policy holders have been made aware of the nature of such substitution and have signified their consent in writing. (4) Subsection (1) shall not apply to the transfer of any insurance business of a foreign company that is an insurer except in so far as the transfer relates to insurance business carried on in, or from within, Mauritius. (5) For the purposes of this Part, “amalgamation” includes any scheme of arrangement, reconstruction or compromise involving an insurer.