—(1) Where, on or after the effective date —
an order is made by a court in Singapore or elsewhere to wind up a PPF Scheme member;
the Authority is of the opinion that a PPF Scheme member is insolvent, unable or likely to become unable to meet its obligations, or about to suspend payments; or
the Authority is exercising or is likely to exercise, or has exercised its powers under Part IIIAA of the Insurance Act (Cap. 142),
the Authority may determine —
that compensation shall be paid out of the PPF Life Fund or the PPF General Fund to the insured policy owners, and also to the beneficiaries in the case of insured policies covered under the PPF General Fund which provide third party benefits, in accordance with this Act; or
that the PPF Life Fund or the PPF General Fund be utilised for either or both of the following purposes:
to fund, whether in whole or in part, the transfer of the whole or part of the business of the failed PPF Scheme member to another insurer;
to fund the run-off of the insurance business of the failed PPF Scheme member without taking in any new insurance business or renewing any existing policies (other than a policy which has a provision providing for guaranteed renewability).
(2) Where the Authority makes any determination referred to in subsection (1), the Authority shall immediately give notice in writing to the Agency of its determination.
(3) The notice in writing referred to in subsection (2) shall be in such form and contain such information as may be agreed between the Authority and the Agency.
(4) The Agency shall, as soon as practicable upon receiving the notice referred to in subsection (2), publish a notification in the Gazette stating that a payment of compensation shall be made out of the PPF Life Fund or the PPF General Fund, or that the PPF Life Fund or the PPF General Fund shall be utilised to fund the transfer or run-off the insurance business of the failed PPF Scheme member, as the case may be.
(5) For the purposes of this Act, the Minister shall by notification in the Gazette appoint a date to be the effective date.