CDI APPOINTED CONSERVATOR OF WORLD TITLE; Department also ordered to liquidate O.C. title company.IRVINE Irvine, town, Scotland Irvine (ûr`vĭn), town (1991 pop. 32,507), North Ayrshire, SW Scotland, on the Irvine River estuary. Industries include iron and brass foundries. Other products are chemicals, electric goods, and clothing. , Calif.--(BUSINESS WIRE)--June 16, 1995--Acting on the order of an Orange County Superior Court commissioner, the Department of Insurance today conserved con·serve v. con·served, con·serv·ing, con·serves v.tr. 1. a. To protect from loss or harm; preserve: Irvine-based World Title Company after it was discovered that the company had a net worth of -$1.85 million. In the same decision, Superior Court Commissioner Dennis J. Keough also named the Department liquidator Liquidator Person appointed by an unsecured creditor in the United Kingdom to oversee the sale of an insolvent firm's assets and the repayment of its debts. of the underwritten title company. The company's pending title orders will be purchased by American Title Insurance Company, ensuring that World Title customers with pending escrows will not be affected by the conservation action, said Insurance Commissioner Chuck Quackenbush Charles "Chuck" Quackenbush (born 1954) is a Florida law enforcement officer and former California politician. He served as Insurance Commissioner of California from 1995–2000 and as a California State Assemblyman representing the 22nd District, from 1986–1994. . As part of the agreement, many of World Title's estimated 250 employees are expected to go to work for American Title. "After analyzing the financial condition of World Title Company, we have determined that it is in the best interest of both the company and its customers to conserve its assets," Quackenbush said. As of May, the company's net worth was an estimated -$1.85 million. It also anticipated losses for the month of May at between $300,000 and $400,000. World Title estimated its assets at $12.1 million, and projected its total liability at $11 million. A preliminary financial examination by the Department of Insurance concluded that certain assets would not be realized, however, resulting in a net worth of -$1.85 million. Since a Department of Insurance financial examination of the underwritten title company signalled its deteriorating de·te·ri·o·rate v. de·te·ri·o·rat·ed, de·te·ri·o·rat·ing, de·te·ri·o·rates v.tr. To diminish or impair in quality, character, or value: financial condition last January, World Title attempted merger negotiations with other title companies which subsequently failed. At that point, World Title approached the Department of Insurance regarding possible conservation. The Department will now prepare to liquidate To pay and settle the amount of a debt; to convert assets to cash; to aggregate the assets of an insolvent enterprise and calculate its liabilities in order to settle with the debtors and the creditors and apportion the remaining assets, if any, among the stockholders or owners of the World Title's assets in order to pay off its creditors, Quackenbush said. "Since the recent increases in interest rates and decline of California's real estate market, the Department of Insurance has been closely monitoring and working with the title insurance industry to protect its customers,S Quackenbush said. "By swiftly responding to World Title's quickly deteriorating condition, the Department has shielded the company's customers from potential devastating dev·as·tate tr.v. dev·as·tat·ed, dev·as·tat·ing, dev·as·tates 1. To lay waste; destroy. 2. To overwhelm; confound; stun: was devastated by the rude remark. losses." CONTACT: Candysse Miller, 213/346-6367 Richard Wiebe, 916/324-2515 |
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