Hutchins

In this equitable proceeding, complainant desires the court to order the Pacific Mutual Life Insurance Company and others to reconvey $215,000,000 of assets to the Pacific Mutual Life Insurance Company of California. An accounting and appointment of a receiver is requested also.

Respondent Carpenter is the Insurance Commissioner of California. Section 1011 of the Insurance Code of California (St. Cal. 1935, p. 540) requires the Commissioner to investigate insurance companies, and if he finds one insolvent, to present a petition to the superior court of California asking that he be appointed conservator of it and that title to the company’s assets be vested in him.

On July 22, 1936, Carpenter presented such a petition to the superior court in Los Angeles county, alleging that the Pacific Mutual Life Insurance Company of California was insolvent and asking that he be appointed conservator and that title to the assets be vested in him. All the parties defendant named in the petition, and constituting the company and its directors, appeared and waived service of process. Judge Edmonds, on the same day, approved the petition and granted its prayers. Carpenter immediately filed…