S.L. 370.9 Art. 6Powers and duties oftheManagement Committee.

(1) The Management Committee shall have the power to enter into such reasonable administrative and other expenses as may be necessary to enable it to fulfil its functions under these regulations.

(2) The Management Committee may place contributions made by licence holders in terms of regulation 11 and any other funds managed and administered by it on deposit or may invest such contributions, having regard to the need for prudence.

(3) For the purposes of being able to exercise its functions and objectives in accordance with regulation 4, the Management Committee may, on behalf of the Scheme, after consulting with the competent authority, take out insurance policies, borrow or otherwise incur indebtedness and obtain funding guarantees, as it may consider appropriate to establish additional sources of funding for the Scheme. For the purposes of this sub-regulation, the term "guarantees" shall include guarantees obtained from credit institutions construed in accordance with item 4 of the First Schedule to the Banking Act.

(4) The Management Committee shall cause proper books of account to be kept so that the financial position of the Scheme can be ascertained with reasonable accuracy at any time.

(5) In exercising its powers and duties, the Management Committee shall be bound to safeguard and take into account the general interests of investors entitled to claim under these regulations.