HC Deb 30 November 1994 vol 250 cc701-2W
Mr. Denham

To ask the President of the Board of Trade what sanctions are available to his Department to bring against the directors of life assurance companies which have been found to be in serious breach of regulations governing the financial service industry.

Mr. Jonathan Evans

Under the Insurance Companies Act 1982 the Secretary of State's powers are exercisable in relation to insurance companies rather than in relation to individual directors. However, under that Act the Secretary of State shall not authorise a company to carry on insurance business, and may withdraw an existing authorisation, if it appears to him that any director, controller, manager or main agent of the company is not a fit and proper person to hold the position held by him. The powers of intervention set out in sections 38 and 41 to 45 of the Insurance Companies Act 1982 are also exercisable on these grounds.