First National Life Insurance Co. (Ala.)

Court Rules on Outstanding Claims

On Dec. 12, the receivership court entered an order confirming recommendations regarding the allowance, disallowance, and priority treatment to be afforded the various outstanding claims against the FNLIC estate.

With all the significant estate litigation having been concluded in late 2000, this year the receiver has focused on efforts to pay claims and close this estate. In April, the receivership court appointed a special master to hear and make recommendations with respect to approximately 70 outstanding claims totaling approximately $7.1 million.

The special master's report was filed with the court in September. A confirmation hearing was held shortly thereafter, and the court then took the recommendations under advisement pending resolution of an ongoing dispute with FNLIC's parent company over a claim for office and furniture rents incurred during the course of the receivership proceedings.

In the Dec. 12 order, the court entered a ruling on the outstanding claim for rents, confirmed the special master's recommendations on claims, and confirmed the receiver's recommendations with respect to the priority treatment to be afforded certain additional outstanding claims. In light of these developments, we anticipate that the receiver will be able to make a final distribution and close this estate in early 2002.

Task Force Chair - Michael Marchman;   Staff Contact - Joni Forsythe

New NOLHGA Web Site in 2002

The new NOLHGA Web site is scheduled to debut on Jan. 2, 2002. In addition to an improved design and organizational structure, the new site will eventually offer a greater array of insolvency-related materials and information on the guaranty association system to NOLHGA members and industry professionals.

Like the current site, the new Web site will feature public information as well as password-protected areas. NOLHGA members and associates with access to NOLHGA's Information Resource Center (IRC) can use the same user name and password for the new site that they use to access the IRC. Any users who have forgotten their password should contact Bryan Owen at [email protected] to register for a new one.

Web site visitors who do not have access to the IRC can continue to use the user name and password they now use to enter the "Confidential Access" and/or "Restricted Access" portions of the present NOLHGA Web site. However, in the near future all users will have to register for a new user name and password to access the site; this well help NOLHGA tailor the content displayed on the site to individual user's needs. Once registration begins, users will have a number of weeks to register before their old user name and password expire.

Questions about the new Web site should be directed to Sean McKenna at [email protected] or 703.787.4106. Questions about user names and passwords should be sent to Bryan Owen at [email protected].

  Staff Contact - Sean McKenna