Reporting and Accounting of Indebtedness

Section 301 Section 301.60  Reporting and Accounting of Indebtedness a)         The Director shall be notified immediately, in writing, upon the execution of any such certificate, as to the amount thereof and to whom payable. b)         The company shall furnish a copy of the deposit slip evidencing that the funds derived from the execution of such certificate have been deposited to the company's account. c)         All outstanding guaranty funds or guaranty capital and interest accrued thereon shall be reported separately in the Annual Statement on Page 3 and in any other financial statements of the company as special surplus funds. d)         The issuance and repayment of the guaranty fund or guaranty capital, as well as the payment of the interest thereon, shall be reflected as direct debits or credits to the Capital and Surplus Account of the company's financial statement. e)         The interest expense incurred on the guaranty fund or guaranty capital during the current period shall be reflected as a deduction from income on the Statement of Income/Summary of Operations of the company's financial statement.