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130 CORPORATIONS. [ART. XXIII
and claims against it, exclusive of capital stock, an amount of assets
of the character hereinafter prescribed in this article equal in value
to the net present value of all its policies in force, it shall be the duty
of the insurance commissioner to publish the fact that the existing con-
dition of affairs of such company is below the legal standard of sol-
vency established by this State, and he shall require the company at
once to cease doing new business, and he shall immediately institute
such proceedings as are necessary to protect the rights of all persons
interested in said company; and it shall be his duty to see that no com-
pany is permitted to insure lives in this State whose charter authorizes
it to do fire, marine or inland insurance business.
Fifth. It shall be the duty of the insurance commissioner, after he
has notified a life insurance company, organized under the authority
of this State, to cease doing new business on account of its condition
being below the legal standard of solvency established by this State
at once to cause a rigid examination in regard to all the affairs of such
company. In case it shall appear that said company is in such a con-
dition as to fall below the legal standard of solvency established by
this State, then in that event the said insurance commissioner shall not
permit the said company to continue in the control of its business;
and it is hereby made his duty to at once institute the necessary pro-
ceedings for the protection of its policy-holders in accordance with the
laws of this State, and to publish the results of the examination of the
affairs of such company, whenever he may deem it for the interest of
the public so to do, in one or more papers published in this State;
provided, however, in case it shall appear that there is no fraud or gross
incompetency or recklessness in the management of said company, he
may give the said company ninety days from the time of the comple-
tion of said examination, prior to the institution of the proceedings
as hereinbefore provided, within which to re-establish its solvency,
according to the legal standard of solvency established by this State.
Sixth. Before granting certificates of authority to an insurance
company to issue policies or make contracts of insurance, the Insur-
ance Commissioner shall be satisfied by such examination and evidence
as he sees fit to make and require, that such company is otherwise duly
qualified under the laws of this State to transact business therein; once
at least during his term of office he shall cause the affairs of every insur-
ance company organized under the laws of this State to be thoroughly
inspected and examined, with special regard to its financial condition
and its ability to fulfill its obligations, and shall ascertain and determine
whether or not it has complied with the laws of this State; he shall also
cause an examination of every such compan'v to be made whenever he
deems it prudent to do so, or upon the request of five or more of the
stockholders, creditors, policy-holders or persons pecuniarily interested
therein, who shall make affidavit of their belief, with specifications of
reasons therefor, showing a prima facie case that such company is in
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