| 6. Modified charitable trust plan required for a material |
| change in form. An organization shall notify the Attorney |
| General and the superintendent of the organization's intent to |
| engage in any transaction described in subsection 1, paragraph |
| I at least 60 days prior to engaging in that transaction. |
| Upon the superintendent's or the Attorney General's |
| determination that a transaction described in subsection 1, |
| paragraph I is a material change in form, notice must be given |
| to the organization and the Attorney General or |
| superintendent, as applicable. Within 90 days after the |
| superintendent or the Attorney General issues a notice of the |
| determination that a transaction described in subsection 1, |
| paragraph I is a material change in form, other than through |
| conversion to a domestic stock insurer pursuant to Title 24, |
| section 2301, subsection 9-D, the Attorney General shall file |
| an action in Superior Court under the Attorney General's |
| charitable authority requesting the court to order the |
| organization to submit to the superintendent, the court and |
| the Attorney General a modified charitable trust plan |
| containing the provisions set forth in subsection 5, paragraph |
| I as the court determines are reasonable under the |
| circumstances, together with any additional provisions as the |
| court determines are reasonably required to coordinate the |
| modified charitable trust plan with any proceeding instituted |
| or to be instituted by the superintendent in connection with |
| the material change in form. The Superior Court, after |
| hearing, shall approve, approve with modifications or |
| disapprove the modified charitable trust plan. The |
| superintendent has the right to intervene in the Superior |
| Court proceeding. In the event that either the superintendent |
| or the court determines that a valuation of the organization |
| is necessary, the superintendent shall conduct the valuation |
| consistent with Title 24, section 2301, subsection 9-D. The |
| superintendent may hold proceedings as the superintendent |
| determines necessary to review an organization's proposal to |
| materially change its form. If the modified charitable trust |
plan includes the creation of a charitable trust or nonprofit |
public benefit corporation, the charitable trust or nonprofit |
| public benefit corporation may not include the organization or |
| any person controlled by the organization. |
