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Proclamation No.746-2012 Insurance Business Proclamation

[Article] 57. Penalties
Unless otherwise a higher penalty is imposed by the Criminal Code:
1/ any person who contravenes the provisions of sub-article (1) of Article 3 of this Proclamation shall be punished with a rigorous imprisonment from ten to fifteen years and with a fine of Birr 20,000 in respect of each day on which the contravention continues;
2/ any person who, having been called upon by the National Bank under sub-article (4) of Article 3 of this Proclamation, fails or refuses to submit the documents described therein shall be punished with a rigorous imprisonment from seven to ten years and with a fine from Birr 50,000 to Birr 100,000;
3/ where the offence under sub-article (1) or (2) of this Article is committed by a legal entity, the penalty of imprisonment shall be imposed on the person in charge of the management of the entity;
4/ any person who contravenes the provisions of sub-article (1) or (2) of Article 16 or Article 17 of this Proclamation shall be punished with a rigorous imprisonment from ten to fifteen years and with a fine from Birr50,000 to Birr100,000;
5/ any director of an insurer who contravenes the provisions of sub-article (6) of Article 33 of this Proclamation shall be punished with a rigorous imprisonment from seven to ten years and with a fine from Birr50, 000 to Birr100, 000;
6/ any director or employee of an insurer who:
a) obstructs the proper performance by an auditor of his duties in accordance with the provisions of this Proclamation or examination of an insurer by an inspector duly authorized by the National Bank;
b) with intent to deceive, makes any false or misleading statement or entry or omits any statement or entry that should be made in any book, account, report or statement of an insurer; or
c) knows or ought to know the insolvency of the insurer and issues or authorizes or permits the issuance of a policy;
shall be punished with a rigorous imprisonment from ten to fifteen years and with a fine from Birr50,000 to Birr100,000.
7/ any person who contravenes or obstructs the implementation of other provisions of this Proclamation or regulations or directives issued hereunder shall be punished with an imprisonment up to three years and with a fine up to Birr10, 000.

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