326 CORPORATlONS—INSURANCE COMMISSIONER. [ART. 23.

rights of all persons interested in said company; and it shall be
his duty to see that no company 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 there is no fraud or gross incompetency
or recklessness in the management, he may, upon publishing the
facts in the case, permit such company to continue in charge of
its business for one year; provided there is, in his opinion, reason
to believe that the company may eventually be able to re-establish
its solvency according to the legal standard. At the expiration
of such year, he may renew the permission, in case, on examina-
tion, he is satisfied that the company is likely to retrieve its con-
dition ; but in case the insurance commissioner does not permit
the company to continue in the control of its business, it is.
hereby made his duty to institute the necessary proceedings for
the protection of its policy holders, in accordance with the laws
of this State, and to publish the result 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.

Sixth. For eveiy company doing fire and inland insurance
business in this State, he shall calculate the re-insurance reserve
for unexpired fire and inland risks, by taking fifty per centum of
the premium received on all unexpired risks that have less than
one year to run, and a pro rata of all premiums received on risks
that have one year or longer to run; and in marine insurance he
shall charge sixty per centum of the amount of premium written
in its marine policies upon yearly risks, and risks covering more
than one passage, not terminated, and the full amount of pre-
mium under its policies upon all other marine risks less than one
year, not terminated; provided, that the foregoing requirements,
of re-insurance reserve, when applied to companies organized.