ALBERT C. RITCHIE. GOVERNOR. 1171

vided by the statutes of this state in relation to the crime of
perjury, and any policy of insurance obtained by means of
such false affidavit shall be void, and the license or authority
for such unauthorized insurance shall be cancelled by the com-
misssioner. The obtaining or possession of any such policy
insuring against loss by fire, lightning or tornado on property
situated in this state issued by companies not authorized to do
business in this state, without complying with the provisions
of sections 71, 72, 73 and 74 shall be a misdemeanor, and
any person convicted thereof shall be subject to a fine not less
than one hundred dollars or more than one thousand dollars,
or imprisonment in the jail of Baltimore City or of the county
of this state where ^such offense may be committed, for a period
not less than one month or more than six months, in discre-
tion of the court having jurisdiction. Any person who shall
act as intermediary in any manner in procuring or delivering
any policy of insurance in violation of any of said sections
71. 72, 73 or 74 shall be subject to all the penalties of this
section above enumerated.

SEC. 76. Reinsurance Reserve. Every company doing a fire
or inland insurance business in this state, shall be charged
with and maintain as any other liability, an unearned or rein-
surance reserve for all unexpired fire and inland risks at the
rate or in the proportion of fifty per centum of the premiums
written or renewed on all unexpired risks that have one year
or less to run, and pro rata for all premiums written or re-
newed on risks that have more than one year to run. Every
company doing a marine insurance business shall be charged
with a reinsurance reserve as above at the rate of sixty per
centum of all premiums written or renewed on all marine
risks for one year or covering more than one voyage, not ter-
minated, and one hundred per centum of all premiums writ-
ten or renewed on policies less than one year, not terminated.
The reinsurance reserve on the business of companies organized
under the laws of foreign governments, shall be calculated only
upon the business of such companies in the United States of
America, and the assets of such companies held and invested
in the United States of America only shall be recognized as
constituting the admitted assets of such companies for re-
serve purposes.

SEC. 77. Impairment of Capital. Having charged the com-
pany the re-insurance reserve as above determined, for fire, in-
land and marine insurance, and adding thereto all debts and