Custody of assets
12.—(1)  The Authority may, in the case of an approved MAT insurer on which a requirement has been imposed under regulation 11, impose an additional requirement that the whole or a specified proportion of the assets to which the requirement under that regulation applies shall be held by a person approved by the Authority for the purposes of the requirement under this regulation as trustee for the insurer.
(2)  Regulation 11(4) shall apply to any requirement under this regulation.
(3)  Assets of an approved MAT insurer held by a person as trustee for the insurer shall be taken to be held by him in compliance with a requirement imposed under this regulation if, and only if —
(a)they are assets in whose case the insurer has given him written notice that they are to be held by him in compliance with such a requirement; or
(b)they are assets into which assets in whose case the insurer has given him such written notice have, by any transaction or series of transactions, been transposed by him on the instructions of the insurer.
(4)  No assets held by a person as trustee for an approved MAT insurer in compliance with a requirement imposed under this regulation shall, so long as the requirement is in force, be released except with the consent of the Authority.
(5)  If a mortgage or charge is created by an approved MAT insurer at a time when there is in force a requirement imposed on the insurer by virtue of this regulation, being a mortgage or charge conferring a security on any assets which are held by a person as trustee for the insurer in compliance with the requirement, the mortgage or charge shall, to the extent that it confers such a security, be void against the liquidator and any creditor of the insurer.