Question

Under what conditions may the Commissioner raise the bond?

Answer 1

The Commissioner may raise the bond under certain conditions such as failure to make payments, bankruptcy, and asset liquidation.

Step-by-step explanation:

The Commissioner has the authority to raise the bond under certain conditions. These conditions may include:

1. If the bond issuer fails to make the payments owed to bondholders, the Commissioner may raise the bond to protect the interests of the bondholders.
2. In the case of rare bankruptcy cases, where the company is unable to fulfill its payment obligations, the Commissioner can take action to ensure the bondholders receive as much payment as possible.
3. If the corporate bond issuer goes bankrupt and fails to pay its bondholders, the Commissioner may also require the company to sell its assets to compensate the bondholders.