Ch. 11

1996 LAWS OF MARYLAND

(2) AFTER A HEARING UNDER THE TERMS OF THE SHOW CAUSE
ORDER, THE COURT:                                                                                                    

(I)       SHALL EITHER GRANT OR DENY THE APPLICATION; AND

(II)     MAY ORDER OTHER RELIEF AS THE NATURE OF THE CASE
AND THE INTERESTS OF THE POLICYHOLDERS, CREDITORS, STOCKHOLDERS,
MEMBERS, SUBSCRIBERS, OR THE PUBLIC MAY REQUIRE.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 134 and the second clause of § 133(c).

Defined terms: "Commissioner" § 1-101
"Creditor" § 9-201
"Delinquency proceeding" § 9-201
"Insurer" § 1-101

9-211. GROUNDS FOR CONSERVATION, REHABILITATION, OR LIQUIDATION OF
INSURERS.

(A) CONSERVATION OR REHABILITATION OF DOMESTIC OR ALIEN INSURERS.

THE COMMISSIONER MAY APPLY TO THE COURT FOR AN ORDER THAT
DIRECTS THE COMMISSIONER TO CONSERVE OR REHABILITATE A DOMESTIC
INSURER OR AN ALIEN INSURER DOMICILED IN THE STATE, IF THE DOMESTIC
INSURER OR ALIEN INSURER:

(1)      IS AN IMPAIRED INSURER;

(2)      HAS REFUSED TO SUBMIT TO THE COMMISSIONER OR A DEPUTY OR
EXAMINER OF THE COMMISSIONER, FOR REASONABLE EXAMINATION, ANY OF THE
PROPERTY, BOOKS, RECORDS, ACCOUNTS, OR AFFAIRS OF THE INSURER, OR OF A
SUBSIDIARY OR RELATED COMPANY OF THE INSURER WITHIN THE INSURER'S
CONTROL;

(3)      HAS CONCEALED OR REMOVED ITS ASSETS OR RECORDS;

(4)      HAS FAILED TO COMPLY WITH AN ORDER OF THE COMMISSIONER
TO MAKE GOOD AN IMPAIRMENT OF CAPITAL OR SURPLUS OR BOTH;

(5)      WITHOUT FIRST OBTAINING THE WRITTEN APPROVAL OF THE
COMMISSIONER:

(I)       HAS TRANSFERRED OR ATTEMPTED TO TRANSFER
SUBSTANTIALLY ALL OF ITS PROPERTY OR BUSINESS; OR

(II)     HAS ENTERED INTO A TRANSACTION THAT MERGES,
CONSOLIDATES, OR REINSURES SUBSTANTIALLY ALL OF ITS PROPERTY OR
BUSINESS IN OR WITH THE PROPERTY OF ANOTHER INSURER;

(6)      HAS WILLFULLY VIOLATED ITS CHARTER, ARTICLES OF
INCORPORATION, A STATE LAW, OR AN ORDER OF THE COMMISSIONER;

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