(1) The Principal Regulations are hereby amended by the substitution for Article 22 of the following Article:
"Assignment of Policies
(1) Subject to the provisions of Section 13 of the Assurance Companies Act, 1909, Section 36 of the Insurance Act, 1989 and of the Insurance Regulations and following consultation with the Minister, an undertaking may assign all or part of its portfolio of policies in accordance with the following subarticles of this Article.
(2) Where an undertaking established in the State proposes to transfer all or part of its portfolio of policies covering risks situated in the State in accordance with Article 2 (d) of the second Directive to an assignee established in the State, the assignment shall not be effected unless the assignee possesses the necessary solvency margin after taking the assignment into account.
(3) Where the assignee's head office is situated in the territory of another member State, the assignment shall not be effected unless the supe