MARVIN MANDEL, Governor

1885

OTHER THAN ON   AN EXCHANGE AS DEFINED IN THE     SECURITIES

EXCHANGE ACT   OF 1934, EXCEPT AS TO THE EQUITY   SECURITIES

THEN OR UP TO   THAT TIME HELD BY HIM IN AN INVESTMENT
ACCOUNT.

(B)       ARBITRAGE TRANSACTIONS.

UNLESS MADE IN CONTRAVENTION OF RULES AND
REGULATIONS THE COMMISSIONER ADOPTS TO CARRY OUT THE
PURPOSES OF §§ 6-513 THROUGH 6-515 OF THIS SUBTITLE, THE
PROVISIONS OF THESE SECTIONS DO NOT APPLY TO ANY MARYLAND
OR FOREIGN ARBITRAGE TRANSACTION.

(C)       REGISTERED SECURITIES.

THE PROVISIONS OF §§ 6-513 THROUGH 6-515 OF THIS
SUBTITLE DO NOT APPLY TO EQUITY SECURITIES OF A DOMESTIC
STOCK INSURER IF:

(1)      THE SECURITIES ARE REGISTERED OR REQUIRED
TO BE REGISTERED UNDER § 12 OF THE SECURITIES EXCHANGE
ACT OF 1934, OR

(2)         THE MARYLAND STOCK INSURER DOES NOT HAVE
A CLASS OF ITS EQUITY SECURITIES HELD OF RECORD BY AT
LEAST 100 PERSONS ON THE LAST BUSINESS DAY OF THE YEAR
PRECEDING THE YEAR IN WHICH EQUITY SECURITIES OF THE
INSURER WOULD BE SUBJECT TO THE PROVISIONS OF §§ 6-513
THROUGH 6-515, EXCEPT FOR THE PROVISIONS OF THIS
PARAGRAPH.

(D) ACTS IN CONFORMATION WITH COMMISSIONER'S RULES

AND REGULATIONS.

THE PROVISIONS OF §§ 6-513 THROUGH 6-515 OF THIS
SUBTITLE WHICH IMPOSE LIABILITY DO NOT APPLY TO AN ACT
DONE OR OMITTED IN GOOD FAITH IN CONFORMITY WITH ANY RULE
OR REGULATION OF THE COMMISSIONER, EVEN IF AFTER THE ACT
OR OMISSION THE RULE OR REGULATION IS AMENDED, RESCINDED,
OR DETERMINED BY JUDICIAL OR OTHER AUTHORITY TO BE
INVALID FOR ANY REASON.]]

REVISOR'S NOTE: This section is new language derived
without substantive change from Art. 48A,
§250A(4), (5), (7), and the second sentence of
(8).

[[6-517. RULES AND REGULATIONS.

THE COMMISSIONER:

(1)        BY ANY RULE OR REGULATION HE CONSIDERS