ALJDEC

99A-219-INS · Department of Insurance · 1999-11-19

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

On November 19, 1999, a hearing was held to consider the application of Triumph Reinsurance Company (the "Petitioner") to withdraw from the insurance business and for the release of its statutory deposit pursuant to A.R.S. §20-588 and A.A.C. R20-6-303. Based upon the entire record in this matter, the following Findings of Fact, Conclusions of Law and Recommended Order are made:

FINDINGS OF FACT

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

2. The Petitioner has filed with the Department certified copies of the Resolutions of the Petitioner's Board of Directors and of the Petitioner's shareholder(s) authorizing the Petitioner to withdraw from the insurance business in the State of Arizona by amending its Articles of Incorporation and adopting a new name.

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

4. The Petitioner has filed its certified financial statement as of August 31, 1999 with the Department.

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

6. The Petitioner has a $100,000.00 statutory deposit with the Department and a $100.00 deposit with the Insurance Examiners’ Revolving Fund (“IERF”).

7. The Petitioner owes $382.72 to the IERF as of November 18, 1999.

8. The Petitioner waived the notice requirements set forth in A.R.S. §41- 1092.05(D).

CONCLUSIONS OF LAW

1. The Petitioner has complied with the provisions of A.R.S. §20-588 and A.A.C. R20-6-303, relating to the release of its $100,000.00 statutory deposit.

RECOMMENDED DECISION

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

2. The Petitioner is entitled to the release of its statutory deposit in the sum of $100,000.00. The statutory deposit shall be released to the Petitioner after the Department has received the following: (a) payment of examination expenses, and/or computer fund and/or fraud assessments, if due; (b) a copy of the Petitioner’s Articles of Amendment certified as having been filed with the Arizona Corporation Commission; and (c) 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 1999 Annual Statement with the Department, together with all applicable fees, unless the Petitioner files its Articles of Amendment with the Arizona Corporation Commission on or before December 31, 1999.

Done this day, November 19, 1999.

_____________________________ Casey J. Newcomb Administrative Law Judge

Original transmitted by mail this ____ day of November, 1999, to:

Charles R. Cohen, Director Department of Insurance 2910 North 44th Street, #210 ATTN: Curvey Burton Phoenix, AZ 85018-7256

By ___________________________

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Office of Administrative Hearings 1400 West Washington, Suite 101 Phoenix, Arizona 85007 (602) 542-9826