ROBERT L. EHRLICH, JR., Governor

Ch. 275

(5) A DESCRIPTION OR CHART OUTLINING THE ORGANIZATIONAL
ARRANGEMENT OF THE ANTIFRAUD PERSONNEL WHO ARE RESPONSIBLE FOR THE
INVESTIGATION AND REPORTING OF POSSIBLE FRAUDULENT VIATICAL
SETTLEMENT ACTS AND INVESTIGATING UNRESOLVED MATERIAL
INCONSISTENCIES BETWEEN MEDICAL RECORDS AND INSURANCE APPLICATIONS.

(D) AN ANTIFRAUD PLAN SUBMITTED TO THE COMMISSIONER SHALL BE
PRIVILEGED AND CONFIDENTIAL AND SHALL NOT BE A PUBLIC RECORD AND SHALL
NOT BE SUBJECT TO DISCOVERY OR SUBPOENA IN A CIVIL OR CRIMINAL ACTION.

(E) (1) EACH VIATICAL SETTLEMENT PROVIDER SHALL FILE ITS
ANTIFRAUD PLAN WITH THE COMMISSIONER

(2) THE COMMISSIONER MAY REVIEW EACH ANTIFRAUD PLAN TO
DETERMINE WHETHER IT COMPLIES WITH THE REQUIREMENTS OF THIS SECTION.

(3) AN ANTIFRAUD PLAN IS DEEMED APPROVED UNLESS DISAPPROVED
BY THE COMMISSIONER WITHIN 30 DAYS AFTER THE DATE OF FILING.

(F) (1) IF THE COMMISSIONER FINDS THAT AN ANTIFRAUD PLAN DOES NOT
COMPLY WITH THE REQUIREMENTS OF THIS SECTION, THE COMMISSIONER SHALL
DISAPPROVE THE ANTIFRAUD PLAN AND SEND A NOTICE OF DISAPPROVAL,
INCLUDING THE REASONS FOR DISAPPROVAL, TO THE VIATICAL SETTLEMENT
PROVIDER

(2) IF THE COMMISSIONER DISAPPROVES AN ANTIFRAUD PLAN, THE
VIATICAL SETTLEMENT PROVIDER SHALL SUBMIT A NEW ANTIFRAUD PLAN TO THE
COMMISSIONER WITHIN 60 DAYS AFTER THE DATE OF DISAPPROVAL.

(G) IT IS A VIOLATION OF THIS SUBTITLE IF THE COMMISSIONER FINDS THAT
A VIATICAL SETTLEMENT PROVIDER HAS FAILED TO:

(1) FILE AN ANTIFRAUD PLAN;

(2) FILE A REVISED ANTIFRAUD PLAN AFTER DISAPPROVAL BY THE
COMMISSIONER OF THE INITIAL ANTIFRAUD PLAN; OR

(3) COMPLY WITH THE ANTIFRAUD PLAN FILED BY THE VIATICAL
SETTLEMENT PROVIDER

[27-804.] 27-805.

The penalty for a violation of this subtitle is as provided in §§ 4-113 and 4-114
of this article.

SECTION 2. AND BE IT FURTHER ENACTED, That nothing in this Act shall
affect the jurisdiction of the Securities Commissioner of the Office of the Attorney
General of Maryland.

SECTION 3. AND BE IT FURTHER ENACTED, That, in the absence of an
order by the Maryland Insurance Commissioner to the contrary, a viatical settlement
provider or a viatical settlement broker transacting business in this State on the.
effective date of this Act may continue to transact business in this State without being

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