Commonwealth Numbered Regulations

1995 No. 431 LIFE INSURANCE REGULATIONS (AMENDMENT) - REG 3

3.1 After regulation 4.01, insert: Prohibited investments

"4.01A. For the purposes of paragraph 43 (3) (d) of the Act, an investment of
assets of a statutory fund of a life company in a subsidiary of that life
company is prohibited if:

   (a)  the assets of the company (other than assets that are the assets of a
        statutory fund) that are invested in that subsidiary exceed the total
        of:

        (i)    the assets of the statutory fund that are invested in that
               subsidiary; and

        (ii)   the assets of any other statutory funds of the company that are
               invested in that subsidiary; or

   (b)  the assets of the statutory fund that are invested in that subsidiary
        are re-invested, whether directly or indirectly, through 1 or more
        interposed bodies corporate, trusts or partnerships, with a company
        that is related to the company (other than as a subsidiary).".