53Termination of statutory funds

53 Termination of statutory funds

(1) The prudential standards may provide that: (a) a life company may apply to APRA to terminate one or more of its statutory funds; and (b) if the application is approved, the termination is to take place. (2) Without limiting the generality of subsection (1), the prudential standards may provide for the following: (a) requirements for making the application; (b) criteria for approving or refusing to approve the application; (c) requirements to notify interested parties of the outcome of the application; (d) matters connected with how the termination takes place, including the following: (i) distribution or application of assets; (ii) settling of liabilities; (iii) the timing of the termination; (e) requirements for the company to give APRA information following the termination. (3) APRA cannot approve the application if it considers that: (a) the termination will result in unfairness to the owners of policies referable to the fund or funds when those owners are viewed as a group; or (b) the company is being wound up when the application is made.