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[Section Index]

The Insurance Act, 1938

( ACT NO. IV Of 1938 )

Registration
70. (1) No provident society except a provident society registered under the provisions of the Provident Insurance Societies Act, 1912, shall receive any premium or contribution until it has obtained from the Chief Controller of Insurance a certificate of registration.
 
 
 
 
(2) Every application for registration shall be accompanied by-
 
 
 
 
(a) a certified copy of the rules of the society, and when the society is a company incorporated under the Companies Act, 1913, or under the Indian Companies Act, 1882, or under the Indian Companies Act, 1886, or under any Act repealed thereby a certified copy of the Memorandum and Articles of Association, or where the society is not such a company, a certified copy of the deed of constitution of the society;
 
 
(b) the names and addresses of the proprietors or directors, and the managers of the society, the full address of the registered office of the society, the full address of the principal office of the society in Bangladesh, the name of the manager at such office, and the name and address of some one or more persons resident in Bangladesh authorised to accept any notice required to be served on the society;
 
 
 
 
(c) a certificate from the Bangladesh Bank that the initial deposit referred to in section 73 has been made;
 
 
 
 
(d) a declaration verified by an affidavit made by the principal officer of the society authorised in that behalf that the minimum working capital required by section 72, is available; and
 
 
 
 
(e) the receipt showing payment in the prescribed manner of the prescribed fee for registration being not more than two hundred Taka.
 
 
 
 
(3) The Chief Controller of Insurance may refuse to issue a certificate of registration until he is satisfied that the rules of the society comply with the provisions of this Act and that the Society complies with the provisions of sections 67,71,72,73 and 73A , but if he is so satisfied he shall register the society and its rules.
 
 
 
 
1[(3A) The Chief Controller of Insurance shall, if he refuses a certificate of registration, communicate his decision in writing to the applicant for such registration within three months from the date of the application.]
 
 
 
 
(4) The Chief Controller of Insurance may, after giving previous notice in writing in such manner as he thinks fit specifying the grounds for the proposed cancellation, and allowing the society concerned an opportunity of being heard, cancel the registration of the society made under this section or made under the provisions of the Provident Insurance Societies Act, 1912-
 
 
 
 
(a) if he is satisfied from the returns furnished under the provisions of this Act or as the result of an inquiry made under section 87-
 
 
(ii) that the business of the society is conducted fraudulently or not in accordance with the rules thereof, or that it is in the interests of the policy-holders that the society should cease to carry on business,
 
 
 
 
(b) if the initial deposit or any of the further deposits required by section 73 has not been made, or
 
 
 
 
(c) if the society, having failed to comply with any requirement or having contravened any provision of this Act, has continued such failure or contravention, for a period of one month after notice of such failure or contravention has been conveyed to the society by the Chief Controller of Insurance:
 
 
 
 
Provided that the Chief Controller of Insurance may without such previous notice,-
 
 
 
 
(a) cancel the registration of a provident society, which has failed to have its registration renewed, or
 
 
 
 
(b) cancel, on such terms and conditions as he thinks fit, the registration of any provident society which applies to him for such cancellation if he is satisfied that the society has ceased to carry on insurance business and that all its liabilities in respect of insurance policies are either satisfied or otherwise provided for, or
 
 
 
 
(c) cancel the registration of a provident society if he has reason to believe that any claim upon the society arising in Bangladesh under any policy of insurance remains unpaid for three months after final judgment in regular course of law.
 
 
 
 
(5) When a registration is cancelled the provident society shall not, after the cancellation has taken effect, enter into any new contracts of insurance, but all rights and liabilities in respect of contracts of insurance entered into by it before such cancellation takes effect shall, subject to the provisions of section 88, continue as if the cancellation had not taken place.
 
 
(6) Where a registration is cancelled under clause (b) of sub-section (4) or clause (c) of the proviso to that sub-section, or because the society has failed to have its registration renewed, the Chief Controller of Insurance may at his discretion revive the registration if the provident society, within six months from the date on which the cancellation took effect, makes the deposits required by section 73 or satisfies the Chief Controller of Insurance that no claim upon it such as is referred to in the said clause (c) remains unpaid or has had an application under sub-section (3) of section 70A accepted, as the case may be, and complies with any directions which may be given to it by the Chief Controller of Insurance.
 
 
 
 
(7) The Chief Controller of Insurance may, on payment of the prescribed fee which shall not exceed five Taka, issue a duplicate certificate of registration to replace a certificate lost, destroyed or mutilated, or in any other case where he is of opinion that the issue of a duplicate certificate is necessary.

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    Sub-section (3A) was inserted by section 32 of the Insurance (Amendment) Ordinance, 1970 (Ordinance No. XXV of 1970)
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