§ 172B — Third party indemnity

172B.—(1) Section 172(2) does not apply where the provision for indemnity is against liability incurred by the officer to a person other than the company, except when the indemnity is against —(a)

any liability of the officer to pay —(i)

a fine in criminal proceedings; or

(ii)

a sum payable to a regulatory authority by way of a penalty in respect of non‑compliance with any requirement of a regulatory nature (however arising); or

(b)

any liability incurred by the officer —(i)

in defending criminal proceedings in which he or she is convicted;

(ii)

in defending civil proceedings brought by the company or a related company in which judgment is given against him or her; or

(iii)

in connection with an application for relief referred to in subsection (4) in which the court refuses to grant him or her relief.[36/2014]

(2) The references in subsection (1)(b) to a conviction, judgment or refusal of relief are references to the final decision in the proceedings.[36/2014]

(3) For the purposes of subsection (2) —(a)

a conviction, judgment or refusal of relief becomes final —(i)

if it is not appealed against — at the end of the period for bringing an appeal; or

(ii)

if it is appealed against — at the time when the appeal (or any further appeal) is disposed of; and

(b)

an appeal (or further appeal) is disposed of —(i)

if it is determined and there is no right of further appeal, or if there is a right of further appeal, the period for bringing any further appeal has ended; or

(ii)

if it is abandoned or otherwise ceases to have effect.[36/2014]

(4) The reference in subsection (1)(b)(iii) to an application for relief is to an application for relief under section 76A(13) or 391.[36/2014]

—(1) Section 172(2) does not apply where the provision for indemnity is against liability incurred by the officer to a person other than the company, except when the indemnity is against —(a)

any liability of the officer to pay —(i)

a fine in criminal proceedings; or

(ii)

a sum payable to a regulatory authority by way of a penalty in respect of non‑compliance with any requirement of a regulatory nature (however arising); or

(b)

any liability incurred by the officer —(i)

in defending criminal proceedings in which he or she is convicted;

(ii)

in defending civil proceedings brought by the company or a related company in which judgment is given against him or her; or

(iii)

in connection with an application for relief referred to in subsection (4) in which the court refuses to grant him or her relief.[36/2014]

(2) The references in subsection (1)(b) to a conviction, judgment or refusal of relief are references to the final decision in the proceedings.[36/2014]

(3) For the purposes of subsection (2) —(a)

a conviction, judgment or refusal of relief becomes final —(i)

if it is not appealed against — at the end of the period for bringing an appeal; or

(ii)

if it is appealed against — at the time when the appeal (or any further appeal) is disposed of; and

(b)

an appeal (or further appeal) is disposed of —(i)

if it is determined and there is no right of further appeal, or if there is a right of further appeal, the period for bringing any further appeal has ended; or

(ii)

if it is abandoned or otherwise ceases to have effect.[36/2014]

(4) The reference in subsection (1)(b)(iii) to an application for relief is to an application for relief under section 76A(13) or 391.[36/2014]