The chief executive, sole proprietor, or managing partner of each prepaid health plan shall file with the department an annual statement disclosing any purchases or leases of services, equipment, supplies or real property by the plan from any entity in which any of the following persons have a substantial financial interest as defined by Section 14478:
(a) Any person also having a substantial financial interest in the plan.
(b) Any director, officer, partner, trustee or employee of the plan.
(c) Any member of the immediate family of any person designated in (a) or (b).
(Added by Stats. 1977, Ch. 1036.)