ALJDEC

98A-124-INS · Department of Insurance · 1998-10-01

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

HEARING: October 1, 1998.

APPEARANCES: Petitioner, Octorion Life Insurance Company, was represented by its attorney, John L. Hay, Esq.

ADMINISTRATIVE LAW JUDGE: Robert. I. Worth _____________________________________________________________________

Based upon the entire record in this matter, the following Findings of Fact, Conclusions of Law and Recommended Order have been prepared and are hereby submitted by the undersigned Administrative Law Judge for review, consideration, approval and adoption by the Director of the Arizona Department of Insurance.

FINDINGS OF FACT AND CONCLUSIONS OF LAW

1. The Petitioner has surrendered its certificate of authority to the Arizona Department of Insurance (“Department”).

2. Petitioner has filed with the Department certified copies of Resolutions of the Petitioner's Board of Directors and of the Petitioner's shareholders authorizing Petitioner to withdraw from the insurance by dissolution.

3. The Petitioner has no insurance obligations owing to it, whether by policies written direct or by reinsurance ceded to it.

4. The Petitioner has filed with the Department its certified financial statement as of July 1, 1998.

5. At least 10 business days before the hearing of this matter, Petitioner gave special notice to creditors of the Petitioner, setting forth the date, place, nature and purpose of the hearing, as evidenced by an affidavit of publication. Petitioner also provided individual notice by mail to its known creditors, as evidenced by affidavit.

6. The Petitioner has a $110,00.00 statutory deposit with the Department and a $100.00 deposit with the Insurance Examiners’ Revolving Fund (“IERF”).

7. The Petitioner has complied with the provisions of A.R.S. §20-588 and with A.A.C. R20-6-303, relating to the release of its $110,000.00 statutory deposit.

RECOMMENDED ORDER

In view of the foregoing, the undersigned Administrative Law Judge hereby recommends as follows:

1. The Petitioner may file its Articles of Dissolution with the Arizona Corporation Commission,

2. The Petitioner is entitled to the release of its statutory deposit in the sum of $110,00.00 and that the statutory deposit shall be released to the Petitioner after the Department has received the following: (a) a copy of Petitioner’s Articles of Dissolution certified as having been filed with the Arizona Corporation Commission; and (b) a fully executed Form E126 (Notice of Trust Deposit Release). The statutory deposit cannot be released until the Department receives a fully executed copy of the official State Treasurer Release Receipt.

3. The sum of $100.00 previously credited to the IERF shall be refunded to the Petitioner, pursuant to A.R.S. §20-159.

4. The Petitioner shall file its 1998 Annual Statement with the Department, together with all applicable fees, unless Petitioner files its Articles of Amendment with the Arizona Corporation Commission on or before December 31, 1998.

Dated: October 5, 1998.

OFFICE OF ADMINISTRATIVE HEARINGS

_________________________________ Robert. I. Worth Administrative Law Judge

Original transmitted on _____________________

by: _____________________________ , to:

Mr. Charles R. Cohen, Acting Director Department of Insurance 2910 North 44th Street (Suite 210) Phoenix, AZ. 85018

ATTN: Curvey Burton

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Office of Administrative Hearings 1700 West Washington, Suite 602 Phoenix, Arizona 85007 (602) 542-9826