56-2-406 - Trustees of companies of other countries. - Tennessee Statutes

56-2-406. Trustees of companies of other countries.

(a)  Any admitted company of a foreign country may appoint trustees who are citizens of the United States, and approved by the commissioner, to hold funds in trust for the benefit of its policyholders and creditors in the United States.

(b)  These trustees shall be named by the directors of the company, and a certified copy of the record of the appointment of the trustees and of the deed of trust shall be filed in the office of the commissioner, who may examine the trustees and the assets in trust, and all books and papers relating to the trust, in the same manner that the commissioner may examine the officers, agents, assets, and affairs of insurance companies.

(c)  The funds held by the trustees, so far as the funds are in securities, money, or credits, admissible as sound assets in the financial accounts of insurance companies, shall, together with its deposits made in accordance with § 56-2-405, constitute the assets of the company as regards its policyholders and creditors in the United States.

[Acts 1895, ch. 160, § 11; Shan., § 3294; Code 1932, § 6110; T.C.A. (orig. ed.), §§ 56-311, 56-233.]