(1) A reinsurance undertaking (other than an exempt undertaking) may carry on in the State reinsurance business of a particular kind only if it is an authorised reinsurance undertaking and the authorisation extends to that kind of business.
(2) A reinsurance undertaking that carries on reinsurance business in contravention of paragraph (1) commits an offence.
(3) If a reinsurance undertaking is found guilty of an offence under paragraph (2), the Bank shall take all reasonably practicable measures to ensure that the undertaking ceases to carry on within the State and within every other Member State the kind of reinsurance business to which the contravention relates.