Section 61:
Power of Court to reduce contracts of insurance.
61. Power of 1[Tribunal] to reduce contracts of insurance. --(1) Where an insurance company is
in liquidation or any other insurer is insolvent the 1[Tribunal] may make an order reducing the amount of
the insurance contracts of the company or other insurer upon such terms and subject to such conditions as
the 1[Tribunal] thinks just.
(2) Where a company carrying on the business of life insurance has been proved to be insolvent,
the 1[Tribunal] may if it thinks fit in place of making a winding up order reduce the amount of the
insurance contracts of the company upon such terms and subject to such conditions as the 1[Tribunal]
thinks fit.
(3) Application for an order under this section may be made either by the liquidator or by or on behalf
of the company or by a policy-holder, or by the 2[Authority] and by any person whom the 1[Tribunal]
thinks likely to be affected shall be entitled to be heard on any such application.
Notes:
1. Subs. by Act 11 of 2003, s. 133 and the Schedule (serial no. 7), for "Court" (w.e.f. 1-4-2003).
2. Subs. by Act 41 of 1999, s. 30 and the First Schedule, for "Controller" (w.e.f. 19-4-2000).