Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1878-05-03
LOaCS---Gene2NI.


officers of the company, that the condition of the
company is such as &c warrant him in permit
Ting 1t TO transact business in this State, under
the provisions OF this act, he shall notify such
company that it will be necessary for him to
examine its affairs before giving it autt orty so
to transact business in this State; and for that
purpose he shall visit such company at its prin-
cipal office, and make, or cause to be made under
his supervision, thorough examination into all
Its affairs, and such examination shall only &c
to the extent OF ascertalning whether the assets
claimed to be possessed By sCch company are
bona fde their own property, and of the charac-
ter required by law, and the actual value there
Of, and to the extent of ascertainng the liabili-
ties Of such company and the expenses of such
examination shall be paid by The company
And if such company shall refuse to permit such
examination, or shall refuse free access to all
its books and papers, or shall in any way pre-
vent or obstruct thorough examination into
its affairs, he shall not grant license 10 such
company, or if license shall have been already
granted, he shall at once revoke it, and publish
the fact of such revocation in one daily news.
paper published in the city of Baltimore. For
the purpose of examinations authorized by law,
the insurance commissioner shall have power to
summon and examine any person being within
this State, under oath, which he is hereby au-
thorized to administer, in relation to the affairs
and condition of any insurance company ; and
in order that the public may be fully informed
as to the condition of companies doing business
in this State, the result of the official examina-
ton of any company doing business in this
State shall, within thirty day thereafter in such
condensed form as shall show the true condition
Of the company examined, be published by the
insurance commissioner, at the expense Of the
company, in one daily newspaper printed and
published in the city of Baltimore. Ninth -
Whenever the reinsurance commissioner shall have
reason TO believe that any insurance company is
nsolvent, or fraudulently conducted, or that its
assets are not sufficient for carrying on the bust
ness of the same, or during any Noncompliance
with the provisions of this act he shall make
complaint thereof to the Judge of the Circuit
Court OF Baltimore city, or any Judge of the
Circuit Court of the county where the company
or agent may be located, as the case may be,
which judge shall, upon the requisition of the
commissioner, appoint commission, consisting
OF the insurance commissioner and two dsin-
terested and competent persons, whose duty it
shall be to examine every detail of the business
and condition of said company, and report in
writing the result of such examination to the
judge appointing them, who shall, if in his
judgment the charges of insolvency, fraud ne
gect or abuse, as charged by the insurance COM
missioner, are sustained by the said report, at
once issue an injunction suspending the business
of said company and the insurance commits
u
the necessary proceedings under the laws Of this
State, to close the affairs of any insurance COM
pany of this State, which shall appear to him
upon examination to be insolvent, or to be frau
dulently conducted and the insurance commits
sioner is necessary party to any proceedings
instituted for the purpose of closing up the af.
fairs of any insurance company, when the same
shall not be in the name of the State of Mary
land. 1t shall be the duty of the insurance COM
missioner to report in detail to the Attorney
General, any violation Of the laws relative TO
insurance companies, their officers or agents. or
the business of insurance, and he shall have
power to institute suits and prosecutions, either
by the Attorney General or such other attorney
as the Attorney General may select, for any
violation Of the provisions of this act. Tenth.
The insurance commissioner shall preserve, in
permanent form, a full. record of his proceedings,
and concise statement of the condition of each
company visited or examined, and report an
nually to the Governor, on or before the first
day Of June, his official acts, and shall on the
first day of December annually, report to the
Comptroller the fees received, and expenses of
his department for the year then to end, and pay
into the treasury all excess of receipts over dis
bursements, and in his report to the Governor
he shall report the condition of the companies
doing business in this State and such other in
formation as will exhibit the affairs of his de-
partment, a copy of which said report to the
Governor, he shall forward TO the insurance
commissioner or other similar officer of every
other State of the United States, and to each
company doing business in this State. and on
request, he shall communicate to the insurance
commits sioner, or other proper officer of any
other State, any facts, which, by law, it is his
duty TO ascertain, respecting companies of this
State doing business within such other State ;
and at the request of any person, and on pay
ment of the proper fee as hereinafter provided,
he shall give certified copies of any recorder
paper in his Office, when he deems il not preju-
dicial to public interest so to do and he shall
give such other certificates as this act provides
for, and he shall adopt and renew, from time to
time, when necessary with the approval of the
Governor a seal of office, an impression and de-
scription of which, with the Governors certii-
cate Of approval, shall be filed with the Secre-
tary of State
30. No declaration of organization or charter
of any insurance company formed uLder any
general law of this State, and no alteration or
amendment thereof shall be operative until it
has been submitted to the Attorney General for
examination, and found by him to be in accord
ance with the provisions of this act, and Of such
general law, and not inconsistent with the con-
stitution and laws of this State, and so certified
by him and delivered to the insurance commits
sioner and before any such company shall be-
gin to do any business, the insurance commits
sioner shall examine the officers Of said COM
pany under oath, TO ascertain whether the capi-
tai required of the company named in the char
ter, according to the nature of the business pro-
posed TO be transacted by such company, TO an
amount Of not less than one hundred thousand
dollars, has been paid in money, and is held by
the board of directors subject to their actual
control, according to the provisions of the char
ter of said company, or has teen by them in
vested in securities negotiable and worth in the
market not less than the sum of one hundred
thousand dollars or if mutual company, that
il has received, and is in actual possession of
the promises or bona tide engagements Of insur-
ance or other securities, as the case may be, TO
the full extent, and of the value required by
law, and the name and residence of the maker
of each premium note forming part Of the capi-
tai or assets, and the amount of such note shall
be reported TO the insurance commissioner; and
the officers or corporations of such company
shall be required 30 certify under oath that the
capital exhibited TO the insurance commissioner
is bona Jide property of the company, which GER
tifcate shall be filed in the office Of the insnr-
ance commissioner and any officer swearing
falsely in regard TO the provisions Of this Sec
ton, shall be deemed guilty Of perjury, and
shall be subject to the penalty, penalties, pre-
scribed for such offences by The laws of this
Slate.
30. II shall not be lawful for any insurance
company, association, partnership or corpora
ton, organized under the laws of any other
State Of the United States, or by the Govern
ment of the United States, or any foreign gov
ernment directly or indirectly, TO take risks or