Insurance Ordinance

(1)
An authorized insurer must ensure that the receipts of a part of its business
                for which a separate account and a separate fund are required to be maintained under
section 25AA
—
(a)
are entered in that account; and
(b)
are carried to and form that fund with an appropriate name.
(2)
An authorized insurer must maintain any books of account and other records that
                are necessary for
identifying—
(a)
the assets representing each fund maintained by the insurer under
section 25AA
; and
(b)
the liabilities attributable to the part of its business for which the fund
                    is maintained.
(3)
For each fund maintained by an authorized insurer under
section 25AA
(other than under
section 25AA(4
)(
a)
), the aggregate value of the assets
                representing the fund must not be less than the aggregate
of—
(a)
the amount of the liabilities attributable to the part of its business for
                    which the fund is maintained; and
(b)
the amount that is required to be held in the fund in accordance with the
                    rules made under
section 129(1
)(
c)
.
(4)
For a fund maintained by an authorized insurer under
section
                    25AA(4
)(
a)
, the aggregate value of the assets representing the fund must
                not be less than the amount of the liabilities attributable to the part of its
                business for which the fund is maintained.
(5)
If subsection (1), (2), (3) or (4) is not complied with in relation to an
                authorized insurer, the insurer commits an offence and is liable on
conviction—
(a)
to a fine of $1,000,000; and
(b)
in the case of a continuing offence—to a further fine of $20,000 for each
                    day during which the offence continues.