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THURSDAY, MAY 3, 1990
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WINDING-UP OF TWO LIFE INSURANCE COMPANIES
ORDERS HAVE BEEN MADE IN THE HIGH COURT FOR THE WINDING-UP OF HONG KONG LIFE INSURANCE COMPANIES, THE GRAND UNION LIFE ASSURANCE LIMITED AND THE HANG LUNG INSURANCE LIMITED.
TWO
THE ORDERS WERE MADE FOLLOWING PETITIONS FOR WINDING-UP OF THE COMPANIES BY THE REGISTRAR GENERAL ON FEBRUARY 5, 1990, IN HIS CAPACITY AS INSURANCE AUTHORITY.
IN THE CASE OF GRAND UNION, THE GROUNDS FOR THE PETITION WERB THAT (1) THE COMPANY WAS INSOLVENT, (2) IT HAD FAILED TO COMPLY WITH CERTAIN STATUTORY OBLIGATIONS, (3) IT HAD FAILED TO KEEP PROPER BOOKS OF ACCOUNT AND (4) IN THE OPINION OF THE INSURANCE AUTHORITY IT EXPEDIENT IN THE PUBLIC INTEREST THAT IT BE WOUND UP.
WAS
IN THE CASE OF HANG LUNG INSURANCE THE GROUNDS WERE THAT COMPANY HAD FAILED TO COMPLY WITH CERTAIN STATUTORY OBLIGATIONS IN THE OPINION OF THE INSURANCE AUTHORITY IT WAS EXPEDIENT IN PUBLIC INTEREST THAT IT BE WOUND UP.
THE
AND
THE
HANG LUNG INSURANCE WAS MANAGED OPERATIONS OF THE TWO WERE MANAGED AS ONE.
BY GRAND UNION AND
THE
THE COMPANIES WILL NOW BE TAKEN OVER BY THE REGISTRAR GENERAL IN HIS CAPACITY AS OFFICIAL RECEIVER.
THE REGISTRAR GENERAL, MR NOEL GLEESON, SAID TODAY (THURSDAY) THAT HE WAS NOW IN A POSITION TO CARRY OUT A CONDITIONAL AGREEMENT HE HAD ENTERED INTO WITH DAH SING INTERNATIONAL LIMITED, A MEMBER OF THE DAH SING GROUP, AND WOULD DO SO AS SOON AS POSSIBLE.
UNION
UNDER THE AGREEMENT THE LIFE INSURANCE BUSINESSES OF GRAND AND HANG LUNG INSURANCE, INCLUDING CERTAIN ASSETS AND LIABILITIES, WOULD BE TRANSFERRED TO DAH SING LIFE ASSURANCE COMPANY LIMITED.
TO FACILITATE THIS ARRANGEMENT DAH SING WOULD BE AUTHORISED THE INSURANCE COMPANIES ORDINANCE ΤΟ CARRY ON LONG TERM INSURANCE BUSINESS IN HONG KONG.
UNDER
MR GLEESON, SPEAKING AS INSURANCE AUTHORITY, SAID HR WAS GLAD TO SEE DAH SING ENTERING THE INSURANCE MARKET AND WAS VERY PLEASED THAT THEY WOULD BE TAKING OVER THE LIFE POLICIES OF THE 10,000 CR SO AFFECTED POLICYHOLDERS.
/HE BELIEVED