382.260. Illegally acquired securities, how treated--impending illegal acquisitions, injunctive relief--ownership of securities, where.
Illegally acquired securities, how treated--impending illegalacquisitions, injunctive relief--ownership of securities, where.
382.260. 1. No security which is the subject of anyagreement or arrangement regarding acquisition, or which isacquired or to be acquired, in contravention of the provisions ofsections 382.010 to 382.300 or of any rule, regulation or orderissued by the director pursuant to sections 382.010 to 382.300may be voted at any shareholders' meeting, or may be counted forquorum purposes, and any action of shareholders requiring theaffirmative vote of a percentage of shares may be taken as thoughsuch securities were not issued and outstanding; but no actiontaken at any such meeting shall be invalidated by the voting ofsuch securities, unless the action would materially affectcontrol of the insurer or unless the courts of this state have soordered. If an insurer or the director has reason to believethat any security of the insurer has been or is about to beacquired in contravention of the provisions of sections 382.010to 382.300 or of any rule, regulation or order issued by thedirector pursuant to sections 382.010 to 382.300, the insurer orthe director may apply to the circuit court for Cole County or tothe circuit court for the county in which the insurer has itsprincipal place of business to enjoin any offer, request,invitation, agreement or acquisition made in contravention ofsections 382.010 to 382.300, or any rule, regulation, or orderissued by the director under the provisions of sections 382.010to 382.300, to enjoin the voting of any security so acquired, tovoid any vote of such security already cast at any meeting ofshareholders, and for such other equitable relief as the natureof the case and the interests of the insurer's policyholders,creditors and shareholders or the public may require.
2. In any case where a person has acquired or is proposingto acquire any voting securities in violation of sections 382.010to 382.300 or any rule, regulation or order issued by thedirector pursuant to sections 382.010 to 382.300, the circuitcourt for Cole County or the circuit court for the county inwhich the insurer has its principal place of business may on suchnotice as the court deems appropriate upon the application of theinsurer or the director, seize or sequester any voting securitiesof the insurer owned directly or indirectly by such person, andmay issue such orders with respect thereto as may be appropriateto effectuate the provisions of sections 382.010 to 382.300.
3. Notwithstanding any other provisions of law, for thepurposes of sections 382.010 to 382.300 the situs of theownership of the securities of domestic insurers shall be deemedto be in this state.
(L. 1971 S.B. 101 § 29, A.L. 1983 H.B. 633 merged with S.B. 333)