[Federal Register Volume 60, Number 239 (Wednesday, December 13, 1995)]
[Notices]
[Pages 64088-64089]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-30298]
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SECURITIES AND EXCHANGE COMMISSION
[Rel. No. IC-21571; 811-7105]
CUNA Mutual Funds, Inc.; Notice of Application
December 6, 1995.
AGENCY: Securities and Exchange Commission (``SEC'').
ACTION: Notice of Application for Deregistration under the Investment
Company Act of 1940 (the ``Act'').
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APPLICANT: CUNA Mutual funds, Inc.
RELEVANT ACT SECTION: Section 8(f).
SUMMARY OF APPLICATION: Applicant seeks an order declaring that it has
ceased to be an investment company.
FILING DATE: The application was filed on July 28, 1995 and amended on
October 27, 1995, and December 1, 1995.
HEARING OR NOTIFICATION OF HEARING: An order granting the application
will be issued unless the SEC orders a hearing. Interested persons may
request a hearing by writing to the SEC's Secretary and serving
applicant with a copy of the request, personally or by mail. Hearing
requests should be received by the SEC by 5:30 p.m. on January 2, 1996,
and should be accompanied by proof of service on applicant, in the form
of an affidavit or, for lawyers, a certificate of service. Hearing
requests should state the nature of the writer's interest, the reason
for the request, and the issues contested. Persons may request
notification of a hearing by writing to the SEC's Secretary.
ADDRESSES: Secretary, SEC, 450 5th Street, N.W., Washington, D.C.
20549. Applicant, 100 East Pratt Street, Baltimore, MD 21202.
FOR FURTHER INFORMATION CONTACT:
Elaine M. Boggs, Staff Attorney, at (202) 942-0572, or Alison E. Baur,
Branch Chief, at (202) 942-0564 (Division of Investment Management,
Office of Investment Company Regulation).
SUPPLEMENTARY INFORMATION: The following is a summary of the
application. The complete application may be obtained for a fee at the
SEC's Public Reference Branch.
Applicant's Representations
1. Applicant is an open-end diversified management investment
company that was organized under the laws of Maryland. Applicant
consists of three portfolios, CUNA Mutual U.S. Government Income Fund,
CUNA Mutual Cornerstone Fund, and Mutual Tax-Free Intermediate-Term
Fund. On October 8, 1993, applicant registered under the Act as an
investment company, and filed a registration statement to register its
shares under the Securities Act of 1933. The registration statement was
declared effective on December 30, 1993 and applicant began a public
offering thereafter.
2. On March 27, 1995, applicant's board of directors approved the
liquidation and dissolution of applicant. The board of directors
approved the liquidation because, among other things, they did not
expect assets under management to rise to a level that would allow
applicant to operate productively. At all times, affiliated persons of
applicant held a majority of the outstanding shares of each portfolio.
3. Between March 17 and March 30, 1995, letters were sent to all
public shareholders notifying them of applicant's intent to liquidate
all accounts effective May 12, 1995. On May 12, 1995, the remaining
public shareholders of each portfolio received cash distributions equal
to the net asset value of their accounts as of the close of business on
that day. CMC-T.Rowe Price Management, LLC (``CMC''), applicant's
administrator and a shareholder of applicant, made the decision to
absorb all the expenses and costs of the liquidation and winding up of
the business of applicant. Accordingly, applicant's affiliated persons
received their distributions after the public shareholders to ensure
that all costs and expenses of the liquidation (such as brokerage,
taxes, etc.) would be absorbed by the affiliated parties and not the
public shareholders. CMC was the sole remaining shareholder on May 26,
1995, and did in fact bear all expenses and costs of winding up the
business of applicant. CMC also paid all of applicant's organizational
expenses.
4. The liquidation was approved by CMC, the sole remaining
shareholder of applicant's stock, on May 26, 1995. On that date, CMC
redeemed its shares at net asset value and received applicant's
remaining assets.
5. With one exception, all portfolio securities were sold in the
usual course. A total of $2,071.17 in brokerage commissions was
incurred. The one exception involved a cross transaction with an
affiliated mutual fund which followed the procedures set forth in rule
17a-7 under the Act.\1\
\1\ Rule 17a-7 exempts purchase or sales transactions between an
investment company and other affiliated investment companies
provided that certain conditions are met.
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6. Applicant has no debts or other liabilities that remain
outstanding. Applicant is not a party to any litigation or
administrative proceeding.
7. On June 30, 1995, applicant filed articles of dissolution with
Maryland authorities.
8. Applicant is not now engaged, nor does it propose to engage, in
any business activities other than those necessary for the winding up
of its affairs.
[[Page 64089]]
For the Commission, by the Division of Investment Management,
pursuant to delegated authority.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 95-30298 Filed 12-12-95; 8:45 am]
BILLING CODE 8010-01-M
