ROANOKE TIMES 

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: FRIDAY, April 12, 1991                   TAG: 9104120251
SECTION: BUSINESS                    PAGE: B7   EDITION: METRO 
SOURCE: Associated Press
DATELINE: LOS ANGELES                                LENGTH: Short

INSURANCE-HOLDING COMPANY SEIZED

State regulators Thursday seized the main subsidiary of First Executive Corp., the insurance giant that was Michael Milken's top junk-bond customer and suffered huge losses when the junk-bond market dissolved.

The takeover of Executive Life Co., which the company did not contest during a brief Superior Court hearing, was by far the biggest collapse of an insurer in history.

California Insurance Commissioner John Garamendi said holders of life insurance policies, annuities and other contracts probably won't get full value.

Executive Life has 170,000 life insurance policies with a face value of $38 billion, as well as 75,000 annuity contracts and more than 300 guaranteed investment contracts.

Garamendi said a consortium of European companies and investors had proposed a detailed plan to take over and operate Executive Life, adding: "We hope to ensure a maximum return." 


 by CNB