Hearing Scheduled for December 19, 2005
Pursuant to chapter 175, §19H, of the Massachusetts General Laws, a public hearing will be held on December 19, 2005, at 10:00 a.m. at the offices of the Massachusetts Division of Insurance ("Division"), One South Station, Fifth Floor, Boston, MA.
The purpose of the hearing is to consider the Plan of Reorganization (the "Plan") adopted by the Permanent Receiver of American Mutual Insurance Company of Boston ("AMI"). This matter has been assigned Docket No. F2005-02. AMI was declared insolvent and all of its policies of insurance were canceled in 1989. Pursuant to the Plan, the Permanent Receiver proposes to reorganize AMI into a stock insurance company and to sell the stock to Liberty Mutual Group, Inc., whose goal is to re-capitalize the company and resume its operations under a different name. The consideration from that sale, along with all of AMI's assets and liabilities, will be transferred to a liquidating trust. By the terms of the anticipated court order approving the sale and creation of the liquidating trust, all claims against AMI, from any source, will be channeled to the liquidating trust. Claims against AMI for its pre-sale obligations will be otherwise permanently enjoined. The acquirer will have no responsibility for those obligations.
The public hearing will address the fairness of the terms and conditions of the Plan, the reasons and purposes for the reorganization of AMI, and whether the reorganization is in the best interest of AMI and is not detrimental to the insuring public. Copies of the Plan and related information are available for public inspection at the Division during regular business hours.
Any person who wishes to present an oral statement at the hearing is asked to file a written notice of intent with the Division of Insurance on or before December 12, 2005. Written statements may be submitted at any time prior to the conclusion of the hearing. Any person who wishes to participate in the hearing other than by offering an oral or written statement must file and serve a petition for leave to participate or intervene in accordance with the requirements of 211 CMR 144.07(3) and 211 CMR 144.06(3) on or before December 12, 2005. All submissions relating to the hearing shall refer to Docket No. F2005-02 and be addressed to the Docket Clerk, Hearings and Appeals, Division of Insurance, One South Station, Boston, Massachusetts 02110.
November 17, 2005