CORPORATIONS 849

An. Code, 1924, sec. 140. 1912, sec. 109. 1904, sec. 97. 1892, ch. 109, sec. 85D.

1910, ch. 219 (p. 6).

139. If it shall appear to the said treasurer from any such examina-
tion, as hereinbefore provided for, that any of said corporations has vio-
lated its charter, or the law pertaining to the same, or is conducting business
in an unsafe or unauthorized manner, he shall, by an order under his
hand and seal of office, addressed to such corporation, direct the discon-
tinuance of such illegal or unsafe practices and require said corporation
to act in conformity with the requirements of its charter and of law, and
insist upon safety and security in its transactions; and whenever any such
corporation shall refuse or neglect to make such report as hereinbefore re-
quired, or to comply with any such order as aforesaid; or whenever it shall
appear to said treasurer that it is unsafe or inexpedient for any such cor-
poration to continue to transact business, he shall communicate the facts
to the attorney-general who shall thereupon be authorized to institute such
proceedings against any such corporation as are now or may hereafter be
provided by law.¹
See notes to secs. 136 and 146.

An. Code, 1924, sec. 141. 1912, sec. 110. 1904, sec. 98. 1892, ch. 109, sec. 85D. 1896, ch. 160,
sec. 85E. 1912, ch. 194, sec. 98. 1922, ch. 439. 1933 (Special Sess.), ch. 108.

140. Every such corporation transacting as part of its business, the
guaranty or fidelity business shall, within six months from the 2nd day
of April, 1896, and from time to time thereafter, if need be, transfer and
assign to the said treasurer registered public stock of the United States
or of the State of Maryland, or of Baltimore City, or the bonds of any
county or municipal corporation of this State, or of the Home Owners
Loan Corporation, a corporation created under an Act of the Congress
of the United States approved June 13, 1933, which shall be approved by
said treasurer to the amount in value of one hundred thousand dollars,
and said amount shall be at all times maintained by said corporation,
which stock must be registered in the name of said treasurer, officially, as
held in trust under and pursuant to this section, and the same shall be
held by said treasurer in trust as security for all the holders of policies
or guarantees of said corporation; provided, however, that no such corpo-
ration incorporated under any law of any other State, district or terri-
tory, the United States or any foreign country, shall be required to make
the deposit as above set forth with the Treasurer of this State if said
corporation shall have made with the Insurance Commissioner, Treasurer
or other proper officer of any State, district or territory in the United
States, a deposit in the amount as above set forth of any securities as
shall have been approved by the proper officer where made, for the benefit
of all the holders of policies or guarantees of said corporation, as above
set forth, and a certificate thereof under the hand and official seal of said
proper officer shall have been filed with said Treasurer.

Where a surety company alleged to be solvent goes into voluntary dissolution, the
state treasurer will not be directed to turn over to the receivers the securities deposited
under this section. Vandiver v. Poe, 119 Md. 350. (This case arose prior to the act
of 1912, ch. 194.)

Cited but not construed in State v. German Savings Bank, 103 Md. 203.

See notes to secs. 136 & 146.

An. Code, 1924, sec. 142. 1912. sec. 111. 1904, sec. 99. 1892, ch. 109, sec. 85F. 1906, ch. 118.

1908, ch. 385.

141. In case any corporation, now or hereafter doing business in this
State, shall refuse or neglect to make the deposit with the state treasurer,

¹ This section so far as it related to trust companies, was repealed by the act of 1910,
ch. 219 (p. 6). As to trust companies, see art. 11, sec. 54, et seq.