Registrar-Generals-Department-Annual-report-1967-1968 — Page 34

Appointment of Inspectors

85. The Companies Ordinance provides that the Financial Secretary may in certain circumstances, e.g. upon application by a specified number or proportion of the members of a company, appoint one or more competent inspectors to investigate the affairs of the company and to report thereon in such manner as the Financial Secretary may direct. In Great Britain such authority is vested in the Board of Trade. Since such provisions were first included in the Companies Ordinance in 1963, two requests for appointment of an inspector have been received, one in respect of a company limited by shares and the other in respect of a company limited by guarantee. No inspector has, however, yet been appointed in either case.

Insurance Companies

86. Local and foreign insurance companies which wish to transact life, fire or marine insurance business in Hong Kong must comply with the provisions of the Life Insurance Companies Ordinance and Fire and Marine Insurance Companies Deposit Ordinance respectively. In addi- tion to the filing of annual accounts, these Ordinances require deposits to be made with the Registrar of Companies unless the company qualifies for exemption by complying with the Insurance Companies Acts 1958- 1967 in Great Britain, or in the case of fire and marine insurance-by maintaining similar deposits elsewhere in the Commonwealth. The approval of the Governor in Council must be obtained for transacting motor vehicle third party risks insurance business. Part II of Tables XI lists the Ordinances and subsidiary legislation relating to insurance companies.

87. Hong Kong is a great insurance centre, in which companies from all over the world compete with the local companies, old and new, for the large amount of business available. Since the only companies regulated by statute are those conducting life, fire, marine, and motor vehicle third party risks business, records are at present kept only of the companies conducting those classes of business. However, as there can be few companies which conduct only other classes of business, the records kept must include practically all companies. As at 31st March 1968 there were 201 insurance companies conducting the regulated classes of business. Table XVIII gives an analysis of these according to country of incorporation and class of business transacted. As will be seen from this 64 companies were domiciled in the United Kingdom, 48 in Hong Kong, and 31 in the United States. 45 companies

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