—(1) The Authority may by order, at the request of the insurer or on any of the grounds set out in subsection (2), cancel the registration of any insurer either wholly or in respect of a class of business, as the case may be.
(2) The grounds referred to in subsection (1) are —
that the insurer has not commenced business within 12 months after being registered;
that the insurer has ceased to carry on insurance business in respect of any class of business;
that it appears to the Authority that the insurer has failed to satisfy an obligation to which it is subject by virtue of this Act;
that there exists a ground on which the Authority would be prohibited by section 9 from registering the insurer;
that the insurer proposes to make, or has made, any composition or arrangement with its creditors or has gone into liquidation or has been wound up or otherwise dissolved;
that the insurer is carrying on its business in a manner likely to be detrimental to the interests of its policy owners;
that the insurer is unable to meet its obligations;
that the insurer has failed to effect satisfactory reinsurance arrangements;
that the insurer has contravened any of the provisions of this Act or any condition imposed or any direction given by the Authority under this Act;
that any of the officers of the insurer holding a managerial or executive position has been convicted of any offence under this Act;
that the insurer has furnished false, misleading or inaccurate information, or has concealed or failed to disclose material facts in its application for registration; or
that it is in the public interest to cancel the registration.
(3) Before cancelling the registration of an insurer under this section otherwise than at the request of the insurer, the Authority shall —
give the insurer notice in writing of its intention to do so; and
in the notice referred to in paragraph (a), call upon the insurer to show cause within such time as may be specified in the notice why his or its registration should not be cancelled.
(4) If the insurer referred to in subsection (3) —
fails to show cause within the time given to him or it to do so or within such extended period of time as the Authority may allow; or
fails to show sufficient cause,
the Authority shall give notice in writing to the insurer of the date on which the cancellation of registration is to take effect.
(5) Any insurer who is aggrieved by a decision of the Authority under subsection (1) to cancel his registration as an insurer otherwise than at his request may, within 30 days of the decision of the Authority, appeal to the Minister in writing in accordance with Part IIIB.
(6) Notwithstanding the cancellation of the registration of an insurer under this section, so long as the insurer remains under any liability in respect of insurance policies belonging to the class of insurance business to which the registration relates, the insurer shall take such action as it considers necessary or as may be required by the Authority to ensure that reasonable provision has been or will be made for that liability and that adequate arrangements exist or will exist for payment of premiums and claims on those policies.