Imágenes de páginas
PDF
EPUB

receipt of such notice shall show that the association has not made the percentage of improvement required herein, the Commissioner may, in the absence of good cause shown for such failure, institute proceedings for the dissolution of such association, in accordance with the provision of Section 244G of this Article, or in the case of a foreign association, its license may be canceled in the manner provided in this article.

Any such association, shown by any triennial valuation, subsequent to December 31, 1920, not to have made the improvements herein required shall, within one year thereafter, complete such deficient improvements, or thereafter as to all new members admitted, be subject, so far as stated rates of contribution are concerned, to the provisions of Section 240 of this Article, applicable in the organization of new associations; provided that the contributions and funds of such new members shall be kept separate and apart from the other funds of the association until the required improvement shall be shown by valuation. If such required improvement is not shown by the succeeding triennial valuation, then the said new members may be placed in a separate class and their certificates valued as an independent association in respect of contribution and funds.

1912, ch. 824, sec. 25a.

244G. (Examination of Domestic Associations.) The Insurance Commissioner, or any person he may appoint, shall have the power of visitation and examination into the affairs of any domestic association. He may employ assistance for the pur pose of such examination, and he, or any person he may appoint, shall have free access to all the books, papers and documents that relate to the business of the association, and may summon and qualify as witness under oath and examine its officers, agents and employees or other persons in relation to the affairs, transactions and condition of the association.

The expense of such examination shall be paid by the association examined upon statement furnished by the Insurance Commissioner, and the examination shall be made at least once in three years. Whenever after examination the Insurance Commissioner is satisfied that any domestic association has failed to comply with any provisions of this Act, or is exceed

ing its powers or is not carrying out its contracts in good faith, or is transacting business fraudulently, or whenever any domestic association, after the existence of one year or more, shall have a membership of less than 400 (or shall determine to discontinue business), the Insurance Commissioner may present the facts relating thereto to the Attorney-General, who shall, if he deem the circumstances warrant, commence an action in quo warranto in a Court of competent jurisdiction, and such Court shall thereupon notify the officers of such associa tion of a hearing, and if it shall then appear that such association should be closed, said association shall be enjoined from carrying on any further business; and some person shall be appointed receiver of such association and shall proceed at once to take possession of the books, papers, moneys and other assets of the association, and shall forthwith, under the direction of the Court, proceed to close the affairs of the association and to distribute its funds to those entitled thereto. No such proceedings shall be commenced by the Attorney-General against any such association until after notice has been duly served on the chief executive officers of the association and a reasonable opportunity given to it on a date to be named in said notice to show cause why such proceedings should not be commenced.

1912, ch. 824, sec. 26a.

244н. (Application for Receiver, Etc.) No application for injunction against or proceedings for the dissolution of or the appointment of a receiver for any such domestic association or branch thereof shall be entertained by any Court in this State unless the same is made by the Attorney-General.

1912, ch. 824, sec. 27A.

2441. (Examination of Foreign Associations.) The Insurance Commissioner, or any person whom he may appoint, may examine any foreign association transacting or applying for admission to transact business in this State. The said Commissioner may employ assistants, and he, or any person he may appoint, shall have free access to all the books, papers and documents that relate to the business of the association, and may summon and qualify as witness under oath and examine its

officers, agents and employees and other persons in relation to the affairs, transactions and condition of the association. He may, in his discretion, accept in lieu of such examination the examination of the Insurance Department of the State, territory, district, province or country where such association is organized. The actual expense of examiners making any such examination shall be paid by the association upon statement furnished by the Insurance Commissioner. If any such association or its officers refuse to submit to such examination or to comply with the provisions of the section relative thereto, the authority of such association to write new business in this State shall be suspended or license refused until satisfactory evidence is furnished the Commissioner relating to the condition and affairs of the association, and during such suspension the association shall not write new business in this State.

1912, ch. 824, sec. 28a.

244J. (No Adverse Publications.) Pending, during or after an examination or investigation of any such association, either domestic or foreign, the Insurance Commissioner shall make public no financial statement, report or finding, nor shall he permit to become public any financial statement, report or finding affecting the status, standing or rights of any such association, until a copy thereof shall have been served upon such association at its home office, nor until such association shall have been afforded a reasonable opportunity to answer any such financial statement, report or finding, and to make such showing in connection therewith as it may desire.

1912, ch. 824, sec. 29A.

244K. (Revocation of Licenses.) When the Insurance Commissioner, on investigation, is satisfied that any foreign association transacting business under this Act has exceeded its powers, or has failed to comply with any provisions of this Act, or is conducting business fraudulently or is not carrying out. its contracts in good faith, he shall notify the association of his findings and state in writing the grounds of his dissatisfaction, and after reasonable notice require such association, on a date named, to show cause why its license should not be re

voked. If, on the date named in said notice, such objections have not been removed to the satisfaction of the said Commissioner, or the association does not present good and sufficient reasons why its authority to transact business in this State should not at that time be revoked, he may revoke the authority of the association to continue business in this State. All decisions and findings of the Commissioner made under the provisions of this section may be reviewed by proper proceedings in any Court of competent jurisdiction, as provided in Section 16A of this Act.

1912, ch. 824, sec. 30A.

244L. (Exemption of Certain Societies.) Nothing contained in this Act shall be construed to affect or apply to grand or subordinate lodges of Masons, Odd Fellows or Knights of Pythias (exclusive of the insurance department of the Supreme Lodge, Knights of Pythias, and the Junior Order of United American Mechanics) or associations which limit their membership to any one hazardous occupation, nor to similar associations which do not issue insurance certificates, nor to an association of local lodges of a society now doing business in this State which provides death benefits not exceeding three hundred dollars to any one person, or disability benefits not exceeding three hundred dollars in any one year to any one person, or both, nor to any contract of reinsurance business on such plan in this State, nor to domestic associations which limit their membership to the employees of a particular city or town designated, firm, business house or corporation, nor 19 domestic lodges, orders or associations of a purely religious, charitable and benevolent description which do not provide for a death benefit of more than one hundred dollars, or for dis ability benefits of more than one hundred and fifty dollars to any one person in any one year; provided, always, that any such domestic order or society which has more than five hundred members, and provides for death or disability benefits, and any such domestic lodge, order or society which issues to any person a certificate providing for the payment of benefits,

shall not be exempt by the provisions of this section, but shall comply with all the requirements of this Act. The Insurance Commissioner may require from any society such information as will enable him to determine whether such society is exempt from the provisions of this Act. No society which is exempt by the provisions of this section from the requirement of this Act shall give or allow, or promise to give or allow, to any person any compensation for procuring new members. Any fraternal beneficiary association heretofore organized and incorporated and operating within the definition set forth in Sections 1A, 2A and 3A of this Act, providing for benefits in case of death or disability resulting solely from accidents, but which does not obligate itself to pay death or sick benefits, may be licensed under the provisions of this Act, and shall have all the privileges and shall be subject to all the provisions and regulations of this Act, except that the provisions of this Act requiring medical examinations, valuations of benefit certificates, and that the certificate shall specify the amount of benefits, shall not apply to such association.

1916, ch. 343.

244L1. Nothing in Sections 229 to 244N, both inclusive, shall be taken or construed as applying to corporations, societies or voluntary associations, the business of which is conducted strictly upon the mortuary assessment plan and of which the death benefit certificates are issued for no fixed amount and are limited to a sum not exceeding five hundred dollars in the cases of any one person.

1912, ch. 824, sec. 31A.

244M. (Taxation.) Every fraternal beneficiary association crganized or licensed under this Act is hereby declared to be a charitable and benevolent institution, and all of its funds shall be exempt from all and every State, county, district, municipal and school tax, other than taxes on real estate and office equipment.

1912, ch. 824, sec. 32a.

244N. (Penalties.) Any person, officer, member or examining physician of any association authorized to do business un

« AnteriorContinuar »