When other report required to be made by them, or shall knowingly aid in or formally consent to any violation of any of the provisions of this act, then in such case every such director, officer, or person so offending shall be deemed guilty of a misdemeanor, and upon conviction thereof, shall be subject to punishment by fine not exceeding five hundred dollars, or to imprisonment not exceeding one year; and if such commissioner neglect or refusal on the part of such officers or directors to conform to and be guided by the requirements of this act is known to the Commissioner of Insurance, it shall be his duty to notify the prosecuting attorney of the county where the office of such company is located, whose duty it shall be to commence legal proceedings against such officers or directors to enforce the penalty hereby imposed. to notify prosecutor to enforce penalty. Books, open to examination. Insolvency, etc. Receiver, appointment of, hearing. SEC. 14. The books of any such company shall be open to the examination of any and all of the officers and of the members at any time; also, to the inspection of the Commissioner of Insurance in person, or by deputy, whenever he shall deem an examination necessary. SEC. 15. In case of insolvency, neglect or refusal of any such company to meet its liabilities and discharge all outstanding claims against such company, the Commissioner of Insurance may in person or by counsel appear in the circuit court of the county where the office of such company is located, and move for the appointment of a receiver for said company, and the company may also be heard upon such motion, and if it shall appear to the satisfaction of the court that the affairs of the company are in such condition that such motion for the appointment of a receiver should be granted, the said court shall then and there appoint a receiver for such company, who shall be empowered to take possession of all books, papers, moneys, and personal property of such company, in accordance with the provisions of this act and in conformity to the charter and by-laws of such company. Such receiver shall keep an accurate account of all moneys or other property received by him; he shall pay over all moneys by him collected and the proceeds of all personal property pro rata upon the liabilities of the company, retaining therefrom for his services and expenses such an amount as the court may deem reasonable; he may sue for and recover any legal assessments made upon the policy holders or members of the company, and he shall use due diligence in the settlement of the affairs of the company, and make his final report to the court making the and discharge. appointment, from whence he shall get his discharge. This act is ordered to take immediate effect. Approved June 18, 1907. Duty of. Final report [No. 177.] AN ACT to provide for the free distribution of the books which have been withdrawn from the traveling libraries on account of their worn condition. The People of the State of Michigan enact: SECTION 1. The State Librarian is hereby authorized to Distribution distribute free in the districts where, in the opinion of the authorized. State Librarian, they are needed, any and all books which, on account of their worn condition, have been withdrawn from the traveling libraries. This act is ordered to take immediate effect. [No. 178.] AN ACT to provide for the regulation of the sale by dealers. and the keeping on hand by consumers, of gasoline. The People of the State of Michigan enact: sale of SECTION 1. Every person dealing at retail in gasoline, Cans, etc., to benzine or naphtha shall deliver the same to the purchaser be used for only in barrels, casks, packages or cans painted vermillion gasoline, red and having the word "gasoline," "benzine," or "naphtha" kerosene, etc. plainly stenciled thereon. No such dealer shall deliver kerosene in a barrel, cask, package or can painted or stenciled as hereinbefore provided. Every person purchasing gasoline, benzine or naphtha for use shall procure and keep the same only in barrels, casks, packages or cans painted and stenciled as herein before provided. No person keeping for use or using kerosene shall put or keep the same in any barrel, cask, package or can painted or stenciled as herein before provided: Provided, however, That in case of gasoline, ben- Proviso, as to zine and naphtha being sold in bottles for cleaning and sim- Easoline sold in ilar purposes, it shall be deemed sufficient if the contents of such bottles are so designated by a label securely pasted or attached thereto with the words "gasoline, benzine or naphtha," printed in bright red ink in letters not less than one-fourth inch in size. bottles. Inspector. SEC. 2. It shall be the duty of the State Oil Inspector Duties of and his deputies to enforce the provisions of this act; and State Oil their compensation and expenses while so engaged shall be paid from the fund derived from inspection of illuminating oil. Penalty for violation. Act repealed. SEC. 3. Any person violating any of the provisions of section one of this act shall be punished by a fine of not less than five nor more than fifty dollars, or by imprisonment in the county jail not to exceed ninety days, or by both such fine and imprisonment in the discretion of the court, before whom such conviction was had. SEC. 4. Act number one hundred eighty-one of the laws of eighteen hundred ninety-nine is hereby repealed. This act is ordered to take effect November one, nineteen hundred seven. Approved June 18, 1907. Certain disbursements to be [No. 179.] AN ACT regulating disbursements by life insurance com panies. The People of the State of Michigan enact: SECTION 1. No domestic life insurance company shall make any disbursement of one hundred dollars or more unevidenced by less the same be evidenced by a voucher signed by or on be voucher. Voucher, what to set forth. Affidavit, when evidenced by. Repealing clause. half of the person, firm, or corporation receiving the money and correctly describing the consideration for the payment. If the expenditure be for both services and disbursements, the voucher shall set forth the services rendered and an itemized statement of the disbursements made. If the expenditure be in connection with any matter pending before any legislative or public body, or before any department or officer of any state or government, the voucher shall correctly describe, in addition, the nature of the matter and of the interest of such company therein. When such voucher cannot be obtained the expenditure shall be evidenced by an affidavit describing the character and object of the expenditure and stating the reason for not obtaining such voucher. SEC. 2. All acts and parts of acts inconsistent with the provisions of this act are hereby repealed. This act is ordered to take immediate effect. [No. 180.] AN ACT relating to the provisions of life insurance policies. The People of the State of Michigan enact: tain entire SECTION 1. Every policy of insurance issued or delivered Policy to conwithin this State on or after the first day of January, nine- contract. teen hundred eight, by any life insurance corporation doing business within the State shall contain the entire contract between the parties. And nothing shall be incorporated Nothing therein by reference to any constitution, by-laws, rules, ap- by reference. plication or other writing unless the same are endorsed upon or attached to the policy when issued. incorporated SEC. 2. All acts and parts of acts inconsistent with the Repealing provisions of this act are hereby repealed. This act is ordered to take immediate effect. clause. [No. 181.] AN ACT to amend act number one hundred seventy-one of the public acts of eighteen hundred eighty-nine, entitled "An act to amend chapter one hundred thirty-one of Howell's Annotated Statutes of the State of Michigan, being an act entitled 'An act in relation to life insurance companies transacting business within this State,' as heretofore amended, by adding thereto one new section to be known as section thirty-one and intended to prevent discrimination and deception in insuring lives," being section seven thousand two hundred nineteen of the Compiled Laws of eighteen hundred ninety-seven. The People of the State of Michigan enact: amended. SECTION 1. Section thirty-one of act one hundred seventy- Section one of the public acts of eighteen hundred eighty-nine, entitled "An act in relation to life insurance companies transacting business within this State," the same being section seven thousand two hundred nineteen of the Compiled Laws of eighteen hundred ninety-seven, is hereby amended to read as follows: not permitted. SEC. 31. No life insurance company doing business in Discriminathis State shall make or permit any distinction or discrim- tion, certain ination in favor of individuals between insurants (the insured) of the same class and equal expectation of life in the amount or payment of premiums or rates charged for Contract, as inducement. etc. policies of life or endowment insurance, or in the dividends or other benefits payable thereon, or in any other of the terms and conditions of the contracts it makes; nor shall any such company or agent thereof make any contract of insurance or agreement as to such contract other than as Rebate, etc.. plainly expressed in the policy issued thereon; nor shall any such company, or any officer, agent, solicitor or representative thereof, pay, allow or give, or offer to pay, allow or give, directly or indirectly, as inducement to insurance, any rebate of premium payable on the policy, or any special favor or advantage in the dividends or other benefits to accrue thereon, or any paid employment or contract for services of any kind or any valuable consideration or inducement whatStocks, bonds, ever not specified in the policy contract of insurance; or give, sell or purchase, or offer to give, sell or purchase as inducement to insurance or in connection therewith any stocks, bonds or other securities of any insurance company or other corporation, association or partnership, or any dividends or profits to accrue thereon or anything of value whatsoever not specified in the policy. Any company which shall violate any of the provisions of this section shall forfeit to the State the sum of five hundred dollars for each violation, to be recovered by the Attorney General by appropriate action in any court of competent jurisdiction, and any judgment therefor may be collected in the same manner as is herein provided for collecting judgments rendered in favor of policy holders. And any officer or agent who shall violate any of the provisions of this section shall be deemed guilty of a misdemeanor and upon conviction thereof, shall be punished by imprisonment in the county jail not exceeding one year, or by a fine of not less than fifty dollars and not exceeding five hundred dollars, or by both such fine and imprisonment in the discretion of the court. Penalty on company. Penalty on officer or agent. This act is ordered to take immediate effect. Money or to be used, [No. 182.] AN ACT regulating life insurance companies and prohibiting the diversion of funds for political purposes. The People of the State of Michigan enact: SECTION 1. No insurance company or association, inproperty not cluding fraternal beneficiary associations, doing business in this State shall, directly or indirectly, pay or use or offer, consent or agree to pay or use any money or property for or in aid of any political party, committee or organization, or etc. |