Brokers' Activitids Limited to Treaty Ports Nanking, June 6.
Insurance brokers working for foreign companies will only be allowed to do business in Treaty Ports under the new insurance lew adopted by the Legislative Yuan yes terday. The law stipulates that. all Jinsurance companies, whether Chi-Inese or foreign, must register with the Ministry of Industry and deposit Jin the National Treasury a sum equivalent to 15 per cent. of their paid-up capital or sinking fund, except if the paid-up capital or sinking fund, exceeds $500,000 in A15 per cent deposit is required lonly for the first $500,000, while" Jive per cent. deposit is required for [the remaining sum. The maximum Jdeposit is limited to $200,000, with provision for special permission being Jgranted by the Ministry of Industry Hfor part of the deposit to consist of JGovernment bonds or Treasury notes, All insurance brokers must be licensed by the competent local Jauthorities. No company is to engage jin both life and property insurance, while no insurance company is allow. Jed to carry on other forms of business.
Investments of any insurance firm immovable property should not ex-Jced one-third of the capital and ability reserve funds, 80. per cent. jof which must be kept' within China, In order to be considered Chinese companies, life insurance concerns must be entirely financed by Chinese Jeitizens. Foreign capital is allowed in [Chinese companies insuring property, but "only to the extent of one-third lof the total capital—Reuter.
Text read from the printed page and cleaned; old type leaves the occasional error.