CO129-447 - Governor Sir May - 1918 [1-3] — Page 353

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(b)

If a company carries on both kinds of business

it must make a deposit of $200,000: s. .5(4).

(c)

(4)

Any company which is maintaining an insurance

deposit in the United Kingdom, or a fire or

marine insurance deposit in any British pos-

session or protectorate, will be exempt, to the

extent of that deposit, from making a deposit

in Hongkong: s. 11.

The only ground of exemption is the maintenance

of an actual deposit in some other part of the

Empire, and exemption, e.g., under s.31(b) of

the Assurance Companies Act, 1909, 9 Edw. 7,0.49,

is not a ground of exemption here;

.. 11.

(e) The exemption is not confined to British com-

panies:

(f)

8. 11.

All future fire or marine insurance companies

registered here will have to make and maintain

the deposit or deposits whether they carry on

business within the Colony or not: a.4.

7. Section 2 is founded on the United Kingdom Aot above

referred to.

8.

Section 3 is an attempt to define the meaning of carrying

on business within the Colony.

t

9.

Section 4 deals with fire and marine companies registered

after the commencement of the Ordinance. The Hongkong Govern-

ment have in the past incurred odium in connection with the failure of Hongkong Companies carrying on business outside the

;