688
When the
capital stock
becomes im-
paired.
Proviso
Make com-
plaint.
Issue injunc
tion.
To cause
rigid exami-
nation.
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LAWS OF MARYLAND.
paying for the fractional parts of shares; and it shall
be lawful for the directors of such company to create
new stock and dispose of the same, and to issue new
certificates therefor to any amount sufficient to make
up the original capital of the company. Whenever
the capita] stock of any joint stock, fire or marine
insurance company of tins State becomes impaired,
the Insurance Commissioner may in his discretion
permit the said company to reduce its capital stock
and the par value of its shares in proportion to the
extent of impairment; provided, that in fixing such
reduced capital no sum exceeding twenty-five thou-
sand dollars shall be deducted from the assets and
property on hand which shall be retained as surplus
assets; and, provided further, that no part of such
assets and property shall be distributed to the stock-
holders; and, prodded further, that the capital stock
shall not be reduced to an amount less than one
hundred thousand dollars; and whenever lie shall
have reason to believe that any company is insolvent
or fraudulently conducted, or that its assets are
not sufficient for carrying on the business of the
same, or during any non-compliance with the
provisions of this Act, he shall make complaint
thereof to the Judge of the Superior 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 he, which judge shall,
upon the requisition of the commissioner, appoint
a commission, consisting of the Insurance Commis-
sioner and two disinterested 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 fraud, neglect or abuse, as charged by the
Insurance Commissioner, is sustained by the said
;- report, at once issue an injunction suspending the
business of said company.
Seventh. It shall be the duty of the Insurance
- Commissioner, after he has notified a life insurance
company, organized under authority of this State, to
cease doing new business until the net value of its
policies in force is equal to that called for by the
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