judge thereof in vacation, or to a judge of the supreme court praying for the appointment of a receiver, and that the charter of such company may be annulled; said judge or court shall forthwith issue a citation to such company to appear at a day and place to be named therein, and answer to said petition; and if upon the hearing of said petition, said court or judge shall find the assets of such company to be less than its liabilities, said court or judge may appoint some disinterested person to be receiver of such company. Said court or judge may provide the mode of proving claims against such company, appoint a committee to hear and decide upon them, may limit and extend the time for the presentation of such claims, make all necessary orders in reference to the delivery to and possession by such receiver of the assets and property of such company and the sale and conveyance of the same by him, and may direct the application of the avails of such assets and property equitably in satisfaction of the claims provided against such company, and the payment of the present value of its outstanding policies to policy holders, either in whole or in part, or to the reinsurance of its outstanding policies in some solvent company; and said court or judge shall annul the charter and decree the dissolution of such company, and may make all other orders and decrees necessary and proper in reference to winding up the affairs of such company and the disposition of its property.

Sec. 21. The liabilities of any such company for all the purposes of the proceedings mentioned in section twenty shall include the net present value of the policies of such company, or reinsurance reserve, ascertained as required by law.

Sec. 22. Whenever a receiver of such company has been appointed by a judge of the supreme court, such judge may at any time cause such petition and his proceedings thereon to be certified to the circuit court of the county in which the principal office of such company is located, and thereafter said circuit court shall have all the powers given to such judge in section twenty, and may rescind and modify any orders previously made in said proceedings, either by it or such judge, the same as if said proceedings had originally been commenced in said court under the provisons of section twenty.

Sec. 23. Whenever proceedings commenced by the insurance commissioner, under the provisions of section twenty, shall be pending in the circuit court if said court shall not be in actual session, a

judge of the supreme court, upon application and after due notice given may make such order in the premises as he shall deem proper and may rescind and modify the same to the same extent as said court might do if in session; and such judge shall cause all such proceedings had before him, with his orders therein, to be certified forthwith to the court in which said original proceedings are pending.

Sec. 24. The circuit court for the county in which the principal office of such company is located, upon the application of the insurance commissioner, may limit and extend the time for the presentation of claims against such company, and notice thereof shall be given in such manner as said court shall direct, and any creditor neglecting to present his claim within the time so limited shall be barred of all right to share in the assets of such company; said court shall appoint not more than three disinterested persons as commissioners to receive and decide upon the claims presented against such company, who shall give notice of the times and places of their meetings for that purpose, in such manner as said court shall prescribe; and within one month after the expiration of the time so limited shall file with the clerk of said court a list of the claims presented to them, specifying those allowed and those disallowed.

Sec. 25. The insurance commissioner shall ascertain the net present value of each policy in force in such company at the time of the repeal of its charter upon the same basis as the policies of such companies were theretofore valued, pursuant to section eight of this chapter, and he shall file with the clerk of said court a certificate. showing the net present value of each said policies, and such net present value shall be the surrender value of each of said policies. Sec. 26. No loan or investment shall be made by a life insurance company of this state without the approval of its finance or executive committee, or the approval of a majority of the directors of such company present at a meeting of such directors, and the name of every director approving or disapproving any loan or investment so made shall be entered by the secretary on the records of the company.

Sec. 27. No director or officer of a life insurance company shall receive any money or valuable thing for negotiating or recommending any loan from such company, or for selling or aiding in the sale of any stock or securities to or by such company.

Sec. 28. No loan shall be made of the capital assets, or income, or any portion thereof, of any life insurance company incorporated by or organized under the laws of this state, unless such loan shall be secured by mortgage on unincumbered real estate worth at least double the amount loaned thereon, or by pledge of bonds or stocks as collateral having a market value at least ten per centum in excess of the amount loaned thereon; or by pledge of United States government bonds, the market value of which shall be equal to the loan, and any such company may make loans on pledge of policies issued by it to an amount not exceeding the net reserve which it maintains upon the policy or policies pledged to secure each such loan.

Sec. 29. No portion of the capital, assets, or income, of any life insurance company of this state shall be used in the purchase of the stocks or bonds of any mining or manufacturing company in any event, nor in the purchase of the stocks or bonds of any other private corporation, upon which the last mentioned stocks a regular dividend shall have been passed, or upon which last mentioned bonds a regular interest payment shall have defaulted at any time within three years prior to such investment.

Sec. 30. This chapter shall not prevent any company from taking premium notes, or giving credit for part of its premiums, in accordance with its usual course of business.

Sec. 31. Every officer or director of a life insurance company knowingly consenting to a loan or investment in wilful violation of any provisions of sections twenty-six, twenty-seven, twenty-eight or twenty-nine shall be personally liable to the company for any loss which may be sustained by such investment or loan, to be recovered in an action to be brought by the insurance commissioner on the complaint of any policy holder or stockholder in the company suffering thereby, and shall be fined not more than one thousand dollars and imprisoned not more than five years.

Sec. 32. In all cases in which any life insurance company of this state shall have legally acquired, in payment of a debt previously contracted, any property, real or personal, situated in this state or elsewhere, said insurance company may upon the sale of said property, take in payment or part payment thereof the stocks or bonds of any company or corporation purchasing said property.

Sec. 33. Mutual life insurance companies may do business within this state with a capital stock of not less than one hundred thousand

dollars, which shall be invested in the same manner as is provided for the investment of its other funds; out of this net surplus of the company the holders of the capital stock may receive a dividend of not more than ten per cent per annum, which may be accumulative; such capital stock shall not be a liability of the company, except that it can be retired as soon as and upon such terms as in the opinion of the insurance commissioner the net surplus of the company will permit; whereupon said stock shall be surrendered and canceled and the right to vote thereon shall cease.

Sec. 34. No life insurance company doing business in this state and no officer, director, or agent thereof shall issue or circulate, or cause or permit to be issued or circulated any estimate illustration, circular or statement of any sort misrepresenting the terms of any policy issued by it or the benefits or advantages promised thereby, or the dividends or shares of surplus to be received thereon, or shall issue any name or table of any policy or class of policies misrepresenting the true nature thereof.

Fire and Marine Insurance Companies.

Sec. 35. Every fire and every fire and marine insurance company doing business in this state shall annually, in January, render to the insurance commissioner a report, signed and sworn to by its president and secretary, of its condition on the thirty-first of December next preceding, in the following form, namely: first, the amount of its capital stock; second, its assets, specifying, first, the value of its real estate; second, the amount of its cash on hand and in bank, specifying where it is deposited; third, the amount of cash in the hands of agents and in course of transmission; fourth, the amount of loans secured by mortgages on which there shall be less than one years' interest due; fifth, the amount of such loans with one years' interest or more due thereon; sixth, the amount due on judgments; seventh, the amount of its stocks and bonds, with the description of amount, number of shares and the par and market value of each; eighth, the amount of stocks and bonds held as collateral security for loans, with the amount loaned on each and the par and market value thereof; ninth, the amount of assessments on stock or premium notes paid or unpaid; tenth, the amount of interest accrued and unpaid; eleventh, the amount of premium notes on hand on which policies are issued; third, its liabilities, specifying, first, the amount of losses due and unpaid; second, the

amount of unpaid losses not paid; third, the amount of claims for losses resisted by the company; fourth, the amount of losses incurred during the year, including those claimed and not yet due, and those reported to the company upon which no action has been taken; fifth, the amount of dividends due and unpaid; sixth, the amount of dividends, either cash or script, not yet payable; seventh, the amount of money borrowed and security given for the payment thereof; eighth, the amount of premiums received on all risks not terminated; ninth, the amount required to reinsure all fire risks in force, computed at fifty per cent of the gross amount of fire premiums less return premiums, and re-insurance received on risks in force, and not perpetual; ninety-five per cent of premiums on per petual risks in force, and one hundred per cent of the amount of ocean marine premiums received on risks in force, excepting on. time hull risks which may be computed at fifty per cent of the amount of premiums received on risks in force; tenth, the amount of all other claims against it; fourth, its income during the preceding year, specifying: first, the amount of cash premiums received; second, the amount of notes received for premiums; third, the amount of interest money received; fourth, the amount of income received from other sources; fifth, its expenditures during the preceding year, specifying: first, the amount of losses paid, stating how much of the same accrued prior and how much subsequent to its preceding statement, and the amount at which such losses were estimated in such statement; second, the amount of dividends paid; third, the amount of expenes paid, including agents' commissions; fourth, the amount paid in taxes; fifth, the amount of all other expenditures.

Sec. 36. No fire or fire and marine insurance company or association incorporated or organized under the laws of this state or of any other state, territory or county of the United States or the District of Columbia or any foreign county, shall directly or indirectly, take risks or transact any business in this state unless possessed of at least one hundred thousand dollars cash capital paid up and securely invested, and every such company shall deposit with the insurance commissioner a certified copy of its charter, and a statement under oath of its president or vice president and secretary, or other proper officers, stating its name and location and other particulars required by section thirty-five; no such companies or associations shall make contracts of insurance on property in this