§ 27-8-1-10 — Quo warranto to remove officers or close business

Whenever any such corporation or association
shall fail to make its annual statement to the insurance commissioner
before August 31, or if, in the opinion of the commissioner it is
conducting its business fraudulently or not in compliance with this
chapter or is not carrying out its contract with the members in good
faith, then it shall be the duty of the commissioner to communicate the
fact to the attorney general, who may thereupon commence proceeding,
by writ of quo warranto against such corporation, association, or
society, requiring it to show cause why its officers should not be
removed or its business closed, and the court shall thereupon hear the
allegations and proofs of the respective parties; and if it shall appear to
the satisfaction of such court that the officers of such corporation,
association, or society, or any one (1) or more of them, have been guilty
of any material irregularity or violation of law to the injury of such
corporation, association, or society, the said court shall decree a
removal from office of the guilty party or parties and substitute suitable
persons to serve until the regular annual election, or until a successor
is regularly chosen; or if it shall appear to the court that the interest of
the public so requires, the court shall decree a dissolution of such
corporation, association, or society and a distribution of its effects.
Formerly: Acts 1883, c.136, s.10. As amended by P.L.252-1985,
SEC.272.