16.—(1) An Authority may refuse an ordinary claim or decrease compensation to an ordinary claimant where it considers this appropriate because—
(a)the ordinary claimant, whether by act or omission—
(i)has participated in, assisted, encouraged or facilitated the riot or spread of the riot, or
(ii)has contributed, directly or indirectly, to any damage, destruction or theft of property during the riot, or
(b)the ordinary claimant has committed a criminal offence relating to the riot.
(2) An Authority may refuse an insurer claim or decrease compensation to an insurer claimant where it considers this appropriate because—
(a)the insurer claimant or the insured person, whether by act or omission—
(i)has participated in, assisted, encouraged or facilitated the riot or spread of the riot, or
(ii)has contributed, directly or indirectly, to any damage, destruction or theft of property during the riot, or
(b)the insurer claimant or the insured person has committed a criminal offence relating to the riot.
(3) In paragraph (2)(a) and (b), “the insured person” means the person who has made a related insurance claim against the insurer claimant.