WILLIAM DONALD SCHAEFER, Governor
health care" shall be defined as a practice whereby such corporation subject to the
provisions of this subtitle engages the services of health care specialists who provide
health care at a predetermined location or locations pursuant to a prepaid health plan.]
[Whenever] IN ADDITION TO THE GROUNDS LISTED UNDER § 55 OF THIS
ARTICLE, IF the Commissioner shall have reason to believe that any corporation subject
to the provisions of this subtitle is being operated for profit or fraudulently conducted, or
is not complying with the provisions of this subtitle OR ARTICLE, or is knowingly failing
to comply with any lawful rule, regulation or order of the Commissioner, the
Commissioner shall be authorized to revoke the certificate of authority theretofore
granted, and may at any time thereafter institute, or cause to be instituted, the necessary
proceedings under the provisions of Subtitle 10 to rehabilitate or liquidate a corporation
subject to the provisions of this subtitle.
IN THIS SECTION, "BOARD" MEANS THE BOARD OF DIRECTORS OF A
CORPORATION INCORPORATED UNDER THE LAWS OF THIS STATE AND ISSUED A
CERTIFICATE OF AUTHORITY UNDER THIS SUBTITLE.
(A) (1) IN THIS SECTION THE FOLLOWING WORDS HAVE THE MEANINGS
(2) (I) "BENEFICIAL INTEREST" MEANS OWNERSHIP, THROUGH EQUITY,
DEBT, OR OTHER MEANS, OF ANY FINANCIAL INTEREST.
(II) "BENEFICIAL INTEREST" DOES NOT INCLUDE OWNERSHIP,
THROUGH EQUITY, DEBT, OR OTHER MEANS, OF SECURITIES, INCLUDING SHARES OR
BONDS, DEBENTURES. OR OTHER DEBT INSTRUMENTS:
1. IN A CORPORATION THAT IS TRADED ON A NATIONAL
EXCHANGE OR OVER THE COUNTER ON THE NATIONAL MARKET SYSTEM; AND
2. THAT AT THE TIME OF ACQUISITION, WERE PURCHASED AT
THE SAME PRICE AND ON THE SAME TERMS GENERALLY AVAILABLE TO THE PUBLIC.
(2) (3) "BOARD" MEANS THE BOARD OF DIRECTORS OF A NONPROFIT
HEALTH SERVICE PLAN.
(4) "IMMEDIATE FAMILY MEMBER" MEANS A BOARD MEMBER'S:
(III) CHILD'S SPOUSE;
(V) SPOUSE'S PARENT;
(VI) SIBLING; OR
- 2593 -