INVESTMENT
COMPANY BLANKET BOND
NATIONAL
UNION FIRE INSURANCE COMPANY
OF
PITTSBURGH, PA.
(A
Stock
Insurance Company, Herein Called the Underwriter)
Bond
No.
494-68-07
DECLARATIONS
| Item 1. |
Name
of Insured (herein called Insured): MASSMUTUAL
PARTICIPATION INVESTORS
|
| Principal Address | 1414 MAIN STREET | |
| SPRINGFIELD, MA 01144 |
| Item 2. |
Bond
Period: from 12:01a.m.
November 4,
2005
to November 4, 2006 the
effective date of the
termination or cancellation of this bond, standard time at the
Principal
Address as to each of
said dates.
|
|
Item
3.
|
Limit
of Liability--Subject to Sections 9, 10 and 12
hereof,
|
|
Amount
applicable to
|
Limit
of Liability
|
Deductible
|
|||||
|
Insuring
Agreement (A)-FIDELITY
|
$
|
1,275,000
|
$
|
10,000
|
|||
|
Insuring
Agreement (B)-AUDIT EXPENSE
|
$
|
50,000
|
$
|
5,000
|
|||
|
Insuring
Agreement (C)-ON PREMISES
|
$
|
1,275,000
|
$
|
10,000
|
|||
|
Insuring
Agreement (D)-IN TRANSIT
|
$
|
1,275,000
|
$
|
10,000
|
|||
|
Insuring
Agreement (E)-FORGERY OR ALTERATION
|
$
|
1,275,000
|
$
|
100,000
|
|||
|
Insuring
Agreement (F)-SECURITIES
|
$
|
1,275,000
|
$
|
10,000
|
|||
|
Insuring
Agreement (G)-COUNTERFEIT CURRENCY
|
$
|
1,275,000
|
$
|
10,000
|
|||
|
Insuring
Agreement (H)-STOP PAYMENT
|
$
|
25,000
|
$
|
5,000
|
|||
|
Insuring
Agreement (I)-UNCOLLECTIBLE ITEMS OF DEPOSIT
|
$
|
25,000
|
$
|
5,000
|
|||
|
Optional
Insuring Agreements and Coverages:
|
|||||||
|
Insuring
Agreement (J)-COMPUTER SYSTEMS
|
$
|
1,275,000
|
$
|
10,000
|
|||
If
“Not
Covered” is inserted
above
opposite any specified Insuring Agreement or Coverage, such Insuring Agreement
or Coverage and any other reference thereto in this bond shall be deemed to
be
deleted therefrom.
| Item 4. |
Offices
or Premises Covered-Offices
acquired or established subsequent to the effective date of this
bond are
covered according to the terms of General Agreement A. All the
Insured’s
offices or premises in existence at the time this bond becomes effective
are covered under this bond except the offices or premises located
as
follows: No Exceptions.
|
| Item 5. |
The
liability of the Underwriter is subject to the terms of the following
riders attached hereto: Riders
No. 1,
2,
3, 4
|
| Item 6. |
The
Insured by the acceptance of this bond gives to the Underwriter
terminating or cancelling prior bond(s) or policy(ies) No.(s) 449-78-71
such
termination or cancellation to be effective as of the time this bond
becomes effective.
|
| Item 7. |
Premium:
$3,231
|
Premium
for Certified Acts of Terrorism Coverage under the Terrorism Risk Insurance
Act
of 2002: $32
included
in policy premium.
Any
coverage provided for losses
caused
by
an act of terrorism as defined by TRIA (“TRIA
losses”) may
be
partially reimbursed by the United States of America under a formula established
by TRIA as follows: 90% of TRIA
losses in
excess
of the insurer deductible mandated by TRIA, the deductible to be based on a
percentage of the insurer’s direct earned premiums for the year preceding the
act of terrorism. A copy of the TRIA disclosure sent with the original quote
is
attached hereto.
By Authorized Representative |
|
POLICYHOLDER
DISCLOSURE STATEMENT
UNDER
TERRORISM
RISK INSURANCE ACT OF 2002
You
are
hereby notified that under the federal Terrorism Risk Insurance Act of 2002
(the
“Act”) effective November 26, 2002, you now have a right to purchase insurance
coverage for losses arising out of an Act of Terrorism, which is defined in
the
Act as an act certified by the Secretary of the Treasury (i) to be an act of
terrorism, (ii) to be a violent act or an act that is dangerous to (A) human
life; (B) property or (C) infrastructure, (iii) to have resulted in damage
within the United States, or outside of the United States in case of an air
carrier or vessel or the premises of a U.S. mission and (iv) to have been
committed by an individual or individuals acting on behalf of any foreign person
or foreign interest, as part of an effort to coerce the civilian population
of
the United States or to influence the policy or affect the conduct of the United
States Government by coercion. You should read the Act for a complete
description of its coverage. The Secretary’s decision to certify or not to
certify an event as an Act of Terrorism and thus covered by this law is final
and not subject to review. There is a $100 billion dollar annual cap on all
losses resulting from Acts of Terrorism above which no coverage will be provided
under this policy and under the Act unless Congress makes some other
determination.
For
your
information, coverage provided by this policy for losses caused by an Act of
Terrorism may be partially reimbursed by the United States under a formula
established by the Act. Under this formula the United States pays 90% of
terrorism losses covered by this law exceeding a statutorily established
deductible that must be met by the insurer, and which deductible is based on
a
percentage of the insurer’s direct earned premiums for the year preceding the
Act of Terrorism.
COPY
OF DISCLOSURE SENT WITH ORIGINAL QUOTE
Insured
Name: MASSMUTUAL
PARTICIPATION INVESTORS
Policy
Number: 494-68-07
Policy
Period Effective Date From: November
4, 2005 To:
November
4, 2006
The
Underwriter, in consideration of an agreed premium, and subject to the
Declarations made a part hereof, the General
Agreements, Conditions and Limitations and other terms of this bond, agrees
with
the Insured, in accordance
with the
Insuring Agreements hereof to which an amount of insurance is applicable as
set
forth in Item 3 of the Declarations and with respect to loss sustained by the
Insured at any time but discovered during the Bond Period, to indemnify and
hold
harmless the Insured for:
INSURING
AGREEMENTS
(A) FIDELITY
Loss
resulting from any dishonest or fraudulent act(s), including Larceny or
Embezzlement committed by an Employee, committed anywhere and whether committed
alone or in collusion with others, including loss of Property resulting from
such acts of an Employee, which Property is held by the Insured for any purpose
or in any capacity and whether so held gratuitously or not and whether or not
the Insured is liable therefor.
Dishonest
or fraudulent act(s) as used in this Insuring Agreement shall mean only
dishonest or fraudulent act(s) committed by such Employee with the manifest
intent:
| (a) |
to
cause the Insured to sustain such loss;
and
|
| (b) |
to
obtain financial benefit for the Employee, or for any other person
or
organization intended by the Employee to receive such benefit, other
than
salaries, commissions, fees, bonuses, promotions, awards, profit
sharing,
pensions or other employee benefits earned in the normal course of
employment.
|
(B) AUDIT
EXPENSE
Expense
incurred by the Insured for that part of the costs of audits or examinations
required by any governmental regulatory authority to be conducted either by
such
authority or by an independent accountant by reason of the discovery of loss
sustained by the Insured through any dishonest or fraudulent act(s), including
Larceny or Embezzlement of any of the Employees. The total liability of the
Underwriter for such expense by reason of such acts of any Employee or in which
such Employee is concerned or implicated or with respect to any one audit or
examination is limited to the amount stated opposite Audit Expense in Item
3 of
the Declarations; it being understood, however, that such expense shall be
deemed to be a loss sustained by the Insured through any dishonest or fraudulent
act(s), including Larceny
or
Embezzlement of one or more of the Employees and the liability under this
paragraph shall be in addition to the Limit of liability stated in Insuring
Agreement (A) in Item 3 of the Declarations.
(C) ON
PREMISES
Loss
of
Property (occurring with or without negligence or violence) through robbery,
burglary, Larceny, theft, holdup, or other fraudulent means, misplacement,
mysterious unexplainable disappearance, damage thereto or destruction thereof,
abstraction or removal from the possession, custody or control of the Insured,
and loss of subscription, conversion, redemption or deposit privileges through
the misplacement or loss of Property, while the Property is (or is supposed
or
believed by the Insured to be) lodged or deposited within any offices or
premises located anywhere, except in an office listed in Item 4 of the
Declarations or amendment thereof or in the mail or with a carrier for hire
other than an armored motor vehicle company, for the purpose of
transportation.
Offices
and Equipment
| (1) |
Loss
of or damage to, furnishings, fixtures, stationery, supplies or equipment,
within any of the Insured’s offices covered under this bond caused by
Larceny or theft in, or by burglary, robbery or holdup of such office,
or
attempt thereat, or by vandalism or malicious mischief;
or
|
| (2) |
loss
through damage to any such office by Larceny or theft in, or by burglary,
robbery or holdup of such office or attempt thereat, or to the interior
of
any such office by vandalism or malicious mischief provided, in any
event,
that the Insured is the owner of such offices, furnishings, fixtures,
stationery, supplies or equipment or is legally liable for such loss
or
damage, always excepting, however, all loss or damage through
fire.
|
(D) IN
TRANSIT
Loss
of
Property (occurring with or without negligence or violence) through robbery,
Larceny, theft, holdup, misplacement, mysterious unexplainable disappearance,
being lost or otherwise made away with, damage thereto or destruction thereof,
and loss of subscription, conversion, redemption or deposit privileges through
the misplacement or loss of Property, while the Property is in transit anywhere
in the custody of any person or persons acting as messenger, except while in
the
mail or with a carrier for hire, other than an armored motor vehicle company,
for the purpose of transportation, such transit to begin immediately upon
receipt of such Property by the transporting person or persons, and to end
immediately upon delivery thereof at destination.
(E) FORGERY
OR ALTERATION
Loss
through FORGERY or ALTERATION of, on or in any bills of exchange, checks,
drafts, acceptances, certificates of deposit. promissory notes, or other written
promises, orders or directions to pay sums certain in money, due bills, money
orders, warrants, orders upon public treasuries, letters of credit, written
instructions, advices or applications directed to the Insured, authorizing
or
acknowledging the transfer, payment, delivery or receipt of funds or Property,
which instructions or advices or applications purport to have been signed or
endorsed by any customer of the Insured, shareholder or subscriber to shares,
whether certificated or uncertificated, of any Investment Company or by any
financial or banking institution or stockbroker but which instructions, advices
or applications either bear the forged signature or endorsement or have been
altered without the knowledge and consent of such customer, shareholder or
subscriber to shares, whether certificated or uncertificated, of an Investment
Company, financial or banking institution or stockbroker, withdrawal orders
or
receipts for the withdrawal of funds or Property, or receipts or certificates
of
deposit for Property and bearing the name of the Insured as issuer, or of
another Investment Company for which the Insured acts as agent, excluding,
however, any loss covered under Insuring Agreement (F) hereof whether or not
coverage for Insuring Agreement (F) is provided for in the Declarations of
this
bond.
Any
check
or draft (a) made payable to a fictitious payee and endorsed in the name of
such
fictitious payee or (b) procured in a transaction with the
maker
or drawer thereof or with one acting as an agent of such maker or drawer or
anyone impersonating another and made or drawn payable to the one so
impersonated and endorsed by anyone other than the one impersonated, shall
be
deemed to be forged as to such endorsement.
Mechanically
reproduced facsimile signatures are treated the same as handwritten
signatures.
(F) SECURITIES
Loss
sustained by the Insured, including loss sustained by reason of a violation
of
the constitution, by-laws, rules or regulations of any Self Regulatory
Organization of which the Insured is a member or which would have been imposed
upon the Insured by the constitution, by-laws, rules or regulations of any
Self
Regulatory Organization if the Insured had been a member thereof,
| (1) |
through
the Insured’s having, in good faith and in the course of business, whether
for its own account or for the account of others, in any representative,
fiduciary, agency or any other capacity, either gratuitously or otherwise,
purchased or otherwise acquired, accepted or received, or sold or
delivered, or given any value, extended any credit or assumed any
liability, on the faith of, or otherwise acted upon, any securities,
documents or other written instruments which prove to have
been
|
| (a) |
counterfeited,
or
|
| (b) |
forged
as to the signature of any maker, drawer, issuer, endorser, assignor,
lessee, transfer agent or registrar, acceptor, surety or guarantor
or as
to the signature of any person signing in any other capacity,
or
|
|
(c)
|
raised
or otherwise altered, or lost, or stolen,
or
|
| (2) |
through
the Insured’s having, in good faith and in the course of business,
guaranteed in writing or witnessed any signatures whether for valuable
consideration or not and whether or not such guaranteeing or witnessing
is
ultra vires the Insured, upon any transfers, assignments, bills of
sale,
powers of attorney, guarantees, endorsements or other obligations
upon or
in connection with any securities, documents
or
|
other
written instruments and which pass or purport to pass title to such securities,
documents or other written instruments; EXCLUDING, losses caused by FORGERY
or
ALTERATION of, on or in those instruments covered under Insuring Agreement
(E)
hereof.
Securities,
documents or other written instruments
shall be deemed to mean original
(including original counterparts) negotiable or non-negotiable agreements which
in and of themselves represent an equitable interest, ownership, or debt,
including an assignment thereof which instruments are in the ordinary course
of
business, transferable by delivery of such agreements with any necessary
endorsement or assignment.
The
word
“counterfeited” as used in this Insuring
Agreement shall be deemed to mean
any
security, document or other written instrument which is intended to deceive
and
to be taken for an original.
Mechanically
produced facsimile signatures are treated the same as handwritten
signatures.
(G) COUNTERFEIT
CURRENCY
Loss
through the receipt by the Insured, in good faith, of any counterfeited money
orders or altered paper currencies or coin of the United States of America
or
Canada issued or purporting to have been issued by the United States of America
or Canada or issued pursuant to a United States of America or Canadian statute
for use as currency.
(H) STOP
PAYMENT
Loss
against any and all sums which the Insured shall become obligated to pay by
reason of the Liability imposed upon the Insured by law for
damages:
For
having either complied with or failed to comply with any written notice of
any
customer, shareholder or subscriber of the Insured or any Authorized
Representative of such customer, shareholder or subscriber to stop payment
of
any check or draft made or drawn by such customer, shareholder or subscriber
or
any Authorized Representative of such customer, shareholder or subscriber,
or
For
having refused to pay any check or draft made or drawn by any customer,
shareholder or subscriber of the Insured or any Authorized Representative of
such customer, shareholder or subscriber.
(I) UNCOLLECTIBLE
ITEMS OF DEPOSIT
Loss
resulting from payments of dividends or fund shares, or withdrawals permitted
from any customer’s, shareholder’s or subscriber’s account based upon
Uncollectible Items of Deposit of a customer, shareholder or subscriber credited
by the Insured or the Insured’s agent to such customer’s, shareholder’s or
subscriber’s Mutual Fund Account; or
loss
resulting from any Item of Deposit processed through an Automated Clearing
House
which is reversed by the customer, shareholder or subscriber and deemed
uncollectible by the Insured.
Loss
includes dividends and interest accrued not to exceed 15% of the Uncollectible
Items which are deposited.
This
Insuring Agreement applies to all Mutual Funds with “exchange privileges” if all
Funds) in the exchange program are insured by a National Union Fire Insurance
Company of Pittsburgh, PA for Uncollectible Items of Deposit. Regardless of
the
number of transactions between Fund(s), the minimum number of days of deposit
within the Fund(s) before withdrawal as declared in the Fund(s) prospectus
shall
begin from the date a deposit was first credited to any Insured
Fund(s).
GENERAL
AGREEMENTS
| A. |
ADDITIONAL
OFFICES OR EMPLOYEES-CONSOLIDATION OR
MERGER-NOTICE
|
| 1. |
If
the Insured shall, while this bond is in force, establish any additional
office or offices, such office or offices shall be automatically
covered
hereunder from the dates of their establishment, respectively. No
notice
to the Underwriter of an increase during any premium period in the
number
of offices or in the number of Employees at any of the offices covered
hereunder need be given and no additional premium need be paid for
the
remainder of such premium period.
|
| 2. |
If
an Investment Company, named as Insured herein, shall, while this
bond is
in force, merge or consolidate with, or purchase the assets of another
institution, coverage for such acquisition shall apply automatically
from
the date of acquisition. The Insured shall notify the Underwriter
of such
acquisition within 60 days of said date, and an additional premium
shall
be computed only if such acquisition involves additional offices
or
employees.
|
| B. |
WARRANTY
|
No
statement made by or on behalf of the Insured, whether contained in the
application or otherwise, shall be deemed to be a warranty of anything except
that it is true to the best of the knowledge and belief of the person making
the
statement.
| C. |
COURT
COSTS AND ATTORNEYS’ FEES (Applicable to all Insuring Agreements or
Coverages now or hereafter forming part of this
bond)
|
The
Underwriter will indemnify the Insured against court costs and reasonable
attorneys’ fees incurred and paid by the Insured in defense, whether or not
successful, whether or not fully litigated on the merits and whether or not
settled of any suit or legal proceeding brought against the Insured to enforce
the Insured’s liability or alleged liability on account of any loss, claim or
damage which, if established against the Insured, would constitute a loss
sustained by the Insured covered under the terms of this bond provided, however,
that with respect to Insuring Agreement (A) this indemnity
shall apply only in the event that
| (1) |
an
Employee admits to being guilty of any dishonest or fraudulent act(s),
including Larceny or Embezzlement;
or
|
| (2) |
an
Employee is adjudicated to be guilty of any dishonest or fraudulent
act(s), including Larceny or
Embezzlement;
|
| (3) |
in
the absence of (1) or (2) above an arbitration panel agrees, after
a
review of an agreed statement of facts, that an Employee would be
found
guilty of dishonesty if such Employee were
prosecuted.
|
The
Insured shall promptly give notice to the Underwriter of any such suit or legal
proceeding and at the request of the Underwriter shall furnish it with copies
of
all pleadings and other papers therein. At the Underwriter’s election the
Insured shall permit the Underwriter to conduct the defense of such suit or
legal proceeding, in the Insured’s name, through attorneys of the Underwriter’s
selection. In such event, the Insured shall give all reasonable information
and
assistance which the Underwriter shall deem necessary to the proper defense
of
such suit or legal proceeding.
If
the
amount of the Insured’s liability or alleged liability is greater than the
amount recoverable under this bond, or if a Deductible Amount is applicable,
or
both, the liability of the Underwriter under this General Agreement is limited
to the proportion of court costs and attorneys’ fees incurred and paid by the
Insured or by the Underwriter that the amount recoverable under this bond bears
to the total of such amount plus the amount which is not so recoverable. Such
indemnity shall be in addition to the Limit of Liability for the applicable
Insuring Agreement or Coverage.
| D. |
FORMER
EMPLOYEE
|
Acts
of
an Employee, as defined in this bond, are
covered
under Insuring Agreement (A) only while the Employee is in the Insured’s employ.
Should loss involving a former Employee of the Insured be discovered subsequent
to the termination of employment, coverage would still apply under Insuring
Agreement (A) if the direct proximate cause of the loss occurred while the
former Employee performed duties within the scope of his/her
employment.
THE
FOREGOING INSURING AGREEMENTS
AND
GENERAL
AGREEMENTS ARE SUBJECT TO
THE
FOLLOWING CONDITIONS
AND
LIMITATIONS:
| SECTION 1. |
DEFINITIONS
|
The
following terms, as used in this bond, shall have the respective meanings
stated
in this Section:
| (a) |
“Employee”
means:
|
| (1) |
any
of the Insured’s officers, partners, or employees,
and
|
|
(2)
|
any
of the officers or employees of any predecessor of the Insured
whose
principal assets are acquired by the Insured by consolidation
or merger
with, or purchase of assets or capital stock of such predecessor.
and
|
|
(3)
|
attorneys
retained by the Insured to perform legal services for the Insured
and the
employees of such attorneys while such attorneys or the employees
of such
attorneys are performing such services for the Insured,
and
|
|
(4)
|
guest
students pursuing their studies or duties in any of the Insured’s offices,
and
|
|
(5)
|
directors
or trustees of the Insured, the investment advisor, underwriter
(distributor), transfer agent, or shareholder accounting record
keeper, or
administrator authorized by written agreement to keep financial
and/or
other required records, but only while performing acts coming
within the
scope of the usual duties of an officer or employee or while
acting as a
member of any committee duly elected or appointed to examine
or audit or
have custody of or access to the Property of the Insured,
and
|
|
(6)
|
any
individual or individuals assigned to perform the usual duties
of an
employee within the premises of the Insured, by contract, or
by any agency
furnishing temporary personnel on a contingent or part-time basis,
and
|
|
(7)
|
each
natural person, partnership or corporation
authorized by written agreement with the Insured to perform services
as
electronic data processor of checks or other accounting records
of the
Insured, but excluding any such processor who acts as transfer
agent or in
any other agency capacity in issuing checks, drafts or securities
for the
Insured, unless included under Sub-section (9) hereof,
and
|
| (8) | those persons so designated in Section 15, Central Handling of Securities, and |
| (9) |
any
officer, partner or Employee
of
|
| a) |
an
investment advisor,
|
| b) |
an
underwriter (distributor),
|
| c) |
atransferagentor
shareholder
accounting
record-keeper,
or
|
| d) |
an
administrator authorized by written agreement to keep financial
and/or
other required records,
|
for
an
Investment Company named as Insured while performing acts coming within the
scope of the usual duties of an officer or Employee of any Investment Company
named as Insured herein, or while acting as a member of any committee duly
elected or appointed to examine or audit or have custody of or access to
the
Property of any such Investment Company, provided that only Employees or
partners of a transfer agent,
shareholder accounting record-keeper or administrator which is an affiliated
person as defined in the Investment Company Act of 1940, of an Investment
Company named as Insured or is an affiliated person of the adviser, underwriter
or administrator of such Investment Company, and which is not a bank, shall
be
included within the definition of Employee.
Each
employer of temporary personnel or processors as set forth in Sub-Sections
(6)
and of Section 1(a) and their partners, officers and employees shall
collectively be deemed to be one person for all the purposes of this bond,
excepting, however, the last paragraph of Section 13.
Brokers,
or other agents under contract or representatives of the same general character
shall not be considered Employees.
| (b) |
“Property”
means money (i.e.. currency, coin, bank notes, Federal Reserve notes),
postage and revenue stamps, U.S. Savings Stamps, bullion, precious
metals
of all kinds and in any form and articles made therefrom, jewelry,
watches, necklaces, bracelets, gems, precious and semi-precious stones,
bonds, securities, evidences of debts, debentures, scrip, certificates,
interim receipts, warrants, rights, puts, calls, straddles, spreads,
transfers, coupons, drafts, bills of exchange, acceptances, notes,
checks,
withdrawal orders, money orders, warehouse receipts, bills of lading,
conditional sales contracts, abstracts of title, insurance policies,
deeds, mortgages under real estate and/or chattels and upon interests
therein, and assignments of such policies, mortgages and instruments,
and
other valuable papers, including books of account and other records
used
by the Insured in the conduct of its business, and all other instruments
similar to or in the nature of the foregoing including Electronic
Representations of such instruments enumerated above (but excluding
all
data processing records) in which the Insured has an interest or
in which
the Insured acquired or should have acquired an interest by reason
of a
predecessor’s
declared financial condition at the time of the Insured’s consolidation or
merger with, or purchase of the principal assets of, such predecessor
or
which are held by the Insured
for any purpose or in any capacity and whether so held by the Insured
for
any purpose or in any capacity and whether so held gratuitously or
not and
whether or not the Insured is liable
therefor.
|
| (c) |
“Forgery”
means the signing of the name of another with intent to deceive;
it does
not include the signing of one’s own name with or without authority, in
any capacity, for any
purpose.
|
| (d) |
“Larceny
and Embezzlement” as it applies to any named Insured means those acts as
set forth in Section 37 of the Investment Company Act of
1940.
|
| (e) |
“Items
of Deposit” means any one or more checks and drafts. Items of Deposit
shall not be deemed uncollectible until the Insured’s collection
procedures have failed.
|
| SECTION 2. |
EXCLUSIONS
|
THIS
BOND
DOES NOT COVER:
| (a) |
loss
effected directly or indirectly by means of forgery or alteration
of, on
or in any instrument, except when covered by
Insuring Agreement (A), (E), (F) or(G).
|
|
(b)
|
loss
due to ruit or civil commotion outside the United States of America
and
Canada; or loss due to military, naval or usurped power, war or
insurrection unless such loss occurs in transit in the circumstances
recited in Insuring Agreement (D), and unless, when such transit
was
initiated, there was no knowledge of such riot, civil commotion,
military,
naval or usurped power, war or insurrection on the part of any
person
acting for the Insured in initiating such
transit.
|
|
(c)
|
loss,
in time of peace or war, directly or indirectly caused by or resulting
from the effects of nuclear fission or fusion or radioactivity;
provided,
however, that this paragraph shall not apply to loss resulting
from
industrial uses of nuclear energy.
|
|
(d)
|
loss
resulting from any wrongful act or
|
|
acts
of any person who is a member of the Board of Directors of the Insured
or
a member of any equivalent body by whatsoever name known unless such
person is also an Employee or an elected official, partial owner
or
partner of the Insured in some other capacity, nor, in any event,
loss
resulting from the act or acts of any person while acting in the
capacity
of a member of such Board or equivalent
body.
|
| (e) |
loss
resulting from the complete or partial non-payment of, or default
upon,
any loan or transaction in the nature of, or amounting to, a loan
made by
or obtained from the Insured or any of its partners, directors or
Employees, whether authorized or unauthorized and whether procured
in good
faith or through trick, artifice, fraud or false pretenses. unless
such
loss is covered under Insuring Agreement (A), (E) or
(F).
|
| (f) |
loss
resulting from any violation by the Insured or by any
Employee
|
| (1) |
of
law regulating (a) the issuance, purchase or sale of securities,
(b)
securities transactions upon Security Exchanges or over the counter
market, (c) Investment Companies, or (d) Investment Advisors,
or
|
| (2) |
of
any rule or regulation made pursuant to any such law, unless such
loss, in
the absence of such laws, rules or regulations, would be covered
under
Insuring Agreements (A) or (E).
|
| (g) |
loss
of Property or loss of privileges through the misplacement or loss
of
Property as set forth in Insuring Agreement (C) or (D) while the
Property
is in the custody of any armored motor vehicle company, unless such
loss
shall be in excess of the amount recovered or received by the Insured
under (a) the Insured’s contract with said armored motor vehicle company,
(b) insurance carried by said armored motor vehicle company for the
benefit of users of its service, and (c) all other insurance and
indemnity
in force in
whatsoever form carried by or for the benefit
of users of said armored motor vehicle
company’s service, and then this bond
shall cover only such excess.
|
| (h) |
potential
income, including but not limited to interest and dividends, not
realized
by the Insured because of a loss covered under this bond, except
as
included under Insuring Agreement
(I).
|
| (i) |
all
damages of any type for which the Insured is legally liable, except
direct
compensatory damages arising from a loss covered under this
bond.
|
| (j) |
loss
through the surrender of Property away from an office of the Insured
as a
result of a threat
|
| (1) |
to
do bodily harm to any person, except loss of Property in transit
in the
custody of any person acting as messenger provided that when such
transit
was initiated there was no knowledge by the Insured of any such threat,
or
|
| (2) |
to
do damage to the premises or Property of the Insured, except when
covered
under Insuring Agreement (A).
|
| (k) |
all
costs, fees and other expenses incurred by the Insured in establishing
the
existence of or amount of loss covered under this bond unless such
indemnity is provided for under Insuring Agreement
(B).
|
| (1) |
loss
resulting from payments made or withdrawals from the account of a
customer
of the Insured, shareholder or subscriber to shares involving funds
erroneously credited to such account, unless such payments are made
to or
withdrawn by such depositor or representative of such person, who
is
within the premises of the drawee bank of the Insured or within the
office
of the Insured at the time of such payment or withdrawal or unless
such
payment is covered under Insuring Agreement
(A).
|
| (m) |
any
loss resulting from Uncollectible Items of Deposit which are drawn
from a
financial institution outside the fifty states of the United States
of
America,
|
District
of Columbia, and territories and possessions of the United States of America,
and Canada.
| SECTION 3. |
ASSIGNMENT
OF RIGHTS
|
This
bond
does not afford coverage in favor of any Employers of temporary personnel or
of
processors as set forth in sub-sections (6) and (7) of Section 1(a) of this
bond, as aforesaid, and upon payment to the Insured by the Underwriter on
account of any loss through dishonest or fraudulent act(s) including Larceny
or
Embezzlement committed by any of the partners, officers or employees of such
Employers, whether acting alone or in collusion with others, an assignment
of
such of the Insured’s rights and causes of action as it may have against such
Employers by reason of such acts so committed shall, to the extent of such
payment, be given by the Insured to the Underwriter, and the Insured shall
execute all papers necessary to secure to the Underwriter the rights herein
provided for.
| SECTION 4. |
LOSS
-NOTICE -PROOF-LEGAL PROCEEDINGS
|
This
bond
is for the use and benefit only of the Insured named in the Declarations and
the
Underwriter shall not be liable hereunder for loss sustained by anyone other
than the Insured unless the Insured, in its sole discretion and at its option,
shall include such loss in the Insured’s proof of loss. At the earliest
practicable moment after discovery of any loss hereunder the Insured shall
give
the Underwriter written notice thereof and shall also within six months after
such discovery furnish to the Underwriter affirmative proof of loss with full
particulars. If claim is made under this bond for loss of securities or shares,
the Underwriter shall not be liable unless each of such securities or shares
is
identified in such proof of loss by a certificate or bond number or, where
such
securities or shares are uncertificated, by such identification means as agreed
to by the Underwriter. The Underwriter shall have thirty days after notice
and
proof of loss within which to investigate the claim, but where the loss is
clear
and undisputed, settlement shall be made within forty-eight hours; and this
shall apply notwithstanding the loss is made up wholly or in part of securities
of which duplicates may be obtained. Legal proceedings for recovery of any
loss
hereunder shall not be brought prior to the expiration
of sixty days after such proof of loss is filed with the Underwriter nor after
the expiration of twenty-four months from the discovery of such loss, except
that any action or proceeding to recover hereunder on account of any judgment
against the Insured in any suit mentioned in General Agreement C or to recover
attorneys’ fees paid in any such suit, shall be begun within twenty-four months
from the date upon which the judgment in such suit shall become final. If any
limitation embodied in this bond is prohibited by any law controlling the
construction hereof, such limitation shall be deemed to be amended so as to
be
equal to the minimum period of limitation permitted by such law.
Discovery
occurs when the Insured
| (a) |
becomes
aware of facts, or
|
| (b) |
receives
written notice of an actual or potential claim by a third party
which
alleges that the Insured is liable under circumstance which would
cause a
reasonable person to assume that
a loss covered by the bond has been or will be
incurred even though the exact amount or details of loss may not
be then
known.
|
| SECTION 5. |
VALUATION
OF PROPERTY
|
The
value
of any Property, except books of accounts or other records used by the Insured
in the conduct of its business, for the loss of which a claim shall be made
hereunder, shall be determined by the average market value of such Property
on
the business day next preceding the discovery of such loss; provided, however,
that the value of any Property replaced by the Insured prior to the payment
of
claim therefor shall be the actual market value at the time of replacement;
and
further provided that in case of a loss or misplacement of interim certificates,
warrants, rights, or other securities, the production which is necessary to
the
exercise of subscription, conversion, redemption or deposit privileges, the
value thereof shall be the market value of such privileges immediately preceding
the expiration thereof if said loss or misplacement is not discovered until
after their expiration. If no market price is quoted for such Property or for
such privileges, the value shall be fixed by agreement between the parties
or by
arbitration.
In
case
of any loss or damage to Property consisting of books of accounts or other
records used by the Insured in the conduct of its business, the Underwriter
shall be liable under this bond
only
if
such books or records are actually reproduced and then for not more than the
cost of blank books, blank pages or other materials plus the cost of labor
for
the actual transcription or copying of data which shall have been furnished
by
the Insured in order to reproduce such books and other records.
| SECTION 6. |
VALUATION
OF PREMISES AND FURNISHINGS
|
In
case
of damage to any office of the Insured, or loss of or damage to the furnishings,
fixtures, stationery, supplies, equipment, safes or vaults therein, the
Underwriter shall not be liable for more than the actual cash value thereof,
or
for more than the actual cost of their replacement or repair. The Underwriter
may, at its election, pay such actual cash value or make such replacement or
repair. If the Underwriter and the Insured cannot agree upon such cash value
or
such cost of replacement or repair, such shall be determined by
arbitration.
| SECTION 7. |
LOST
SECURITIES
|
If
the
Insured shall sustain a loss of securities the total value of which is in excess
of the limit stated in Item 3 of the Declarations of this bond, the liability
of
the Underwriter shall be limited to payment for, or duplication of, securities
having value equal to the limit stated in Item 3 of the Declarations of this
bond.
If
the
Underwriter shall make payment to the Insured for any loss of securities, the
Insured shall thereupon assign to the Underwriter all of the Insured’s rights,
title and interests in and to said securities.
With
respect to securities the value of which do not exceed the Deductible Amount
(at
the time of the discovery of the loss) and for which the Underwriter may at
its
sole discretion and option and at the request of the Insured issue a Lost
Instrument Bond or Bonds to effect replacement thereof, the Insured will pay
the
usual premium charged therefor and will indemnify the Underwriter against all
loss or expense that the Underwriter may sustain because of the issuance of
such
Lost Instrument Bond or Bonds.
With
respect to securities the value of which
exceeds
the Deductible Amount (at the time of discovery of the loss) and for which
the
Underwriter may issue or arrange for the issuance of a Lost Instrument Bond
or
Bonds to effect replacement
thereof, the Insured agrees that it will pay as premium therefor a proportion
of
the usual premium charged therefor, said proportion being equal to the
percentage that the Deductible Amount bears to the value of the securities
upon
discovery of the loss, and that it will indemnify the issuer of said Lost
Instrument Bond or Bonds against all loss and expense that is not recoverable
from the Underwriter under the terms and conditions of this INVESTMENT COMPANY
BLANKET BOND subject to the Limit of Liability hereunder.
| SECTION 8. |
SALVAGE
|
In
case
of recovery, whether made by the Insured or by the Underwriter, on account
of
any loss in excess of the Limit of Liability hereunder plus the Deductible
Amount applicable to such loss from any source other than suretyship, insurance,
reinsurance, security or indemnity taken by or for the benefit of the
Underwriter, the net amount of such recovery, less the actual costs and expenses
of making same, shall be applied to reimburse the Insured in full for the excess
portion of such loss, and the remainder, if any, shall be paid first in
reimbursement of the Underwriter and thereafter in reimbursement of the Insured
for that part of such loss within the Deductible Amount. The Insured shall
execute all necessary papers to secure to the Underwriter the rights provided
for herein.
| SECTION 9. |
NON-REDUCTION
AND NON-ACCUMULATIONOF LIABILITY AND TOTAL
LIABILITY
|
At
all
times prior to termination hereof this bond shall continue in force for the
limit stated in the applicable sections of Item 3 of the Declarations of this
bond notwithstanding any previous loss for which the Underwriter may have paid
or be liable to pay hereunder; PROVIDED, however, that regardless of the number
of years this bond shall continue in force and the number of premiums which
shall be payable or paid, the liability of the Underwriter under this bond
with
respect to all loss resulting from
| (a) |
any
one act of burglary, robbery or holdup, or attempt thereat, in which
no
Partner or Employee is concerned or implicated shall be deemed to
be
one
|
loss,
or
| (b) |
any
one unintentional or negligent act on the part of any one person
resulting
in damage to or destruction or misplacement of Property, shall
be deemed
to be one loss, or
|
|
(c)
|
all
wrongful acts, other than those specified in (a) above, of any
one person
shall be deemed to be one loss, or
|
|
(d)
|
all
wrongful acts, other than those specified in (a) above, of one
or more
persons (which dishonest act(s) or act(s) of Larceny or Embezzlement
include, but are not limited to, the failure of an Employee to
report such
acts of others) whose dishonest act or acts intentionally or
unintentionally, knowingly or unknowingly, directly or indirectly,
aid or
aids in any way, or permits the continuation of, the dishonest
act or acts
of any other person or persons shall be deemed to be one loss with
the act
or acts of the persons aided, or
|
|
(e)
|
any
one casualty or event other than those specified in (a), (b), (c)
or (d)
preceding, shall be deemed to be one loss,
and
|
shall
be
limited to the applicable Limit of Liability stated in Item 3 of the
Declarations of this bond irrespective of the total amount of such loss or
losses and shall not be cumulative in amounts from year to year or from period
to period.
Sub-section
(c) is not applicable to any situation to which the language of sub-section
(d)
applies.
| SECTION 10. |
LIMIT
OF LIABILITY
|
With
respect to any loss set forth in the PROVIDED clause of Section 9 of this bond
which is recoverable or recovered in whole or in part under any other bonds
or
policies issued by the Underwriter to the Insured or to any predecessor in
interest of the Insured and terminated or cancelled or allowed to expire and
in
which the period for discovery has not expired at the time any such loss
thereunder is discovered, the total liability of the Underwriter under this
bond
and under other bonds or policies shall not exceed, in the aggregate, the amount
carried hereunder on such loss or the amount available to the Insured under
such
other bonds or policies, as limited
by the terms and conditions thereof, for any such loss if the latter amount
be
the larger.
| SECTION 11. |
OTHER
INSURANCE
|
If
the
Insured shall hold, as indemnity against any loss covered hereunder, any valid
and enforceable insurance or suretyship, the Underwriter shall be liable
hereunder only for such amount of such loss which is in excess of the amount
of
such other insurance or suretyship, not exceeding, however, the Limit of
Liability of this bond applicable to such loss.
| SECTION 12. |
DEDUCTIBLE
|
The
Underwriter shall not be liable under any of the Insuring Agreements of this
bond on account of loss as specified, respectively, in sub-sections (a), (b),
(c), (d) and (e) of Section 9, NON-REDUCTION AND NON-ACCUMULATION OF LIABILITY
AND TOTAL LIABILITY, unless the amount of such loss, after deducting the net
amount of all reimbursement and/or recovery obtained or made by the Insured,
other than from any bond or policy of insurance issued by an insurance company
and covering such loss, or by the Underwriter on account thereof prior to
payment by the Underwriter of such loss, shall exceed the Deductible Amount
set
forth in Item 3 of the Declarations hereof (herein called Deductible Amount)
and
then for such excess only, but in no event for more than the applicable Limit
of
Liability stated in Item 3 of the Declarations.
The
Insured will bear, in addition to the Deductible
Amount, premiums on Lost Instrument
Bonds as
set forth in Section 7.
There
shall be no deductible applicable to any
loss
under Insuring Agreement A sustained by
any
Investment Company named as Insured herein.
| SECTION 13. |
TERMINATION
|
The
Underwriter may terminate this bond as an entirety by furnishing written notice
specifying the termination date which cannot be prior to 60 days after the
receipt of such written notice by each Investment Company named as Insured
and
the Securities and Exchange Commission, Washington, D.C. The Insured may
terminate this bond as an entirety by furnishing written notice to the
Underwriter. When the Insured cancels, the
Insured
shall furnish written notice to the Securities and Exchange Commission,
Washington. D.C. prior to 60 days before the effective date of the termination.
The Underwriter shall notify all other Investment Companies named as Insured
of
the receipt of such termination notice and the termination cannot be effective
prior to 60 days after receipt of written notice by all other Investment
Companies. Premiums are earned until the termination date as set forth
herein.
This
Bond
will terminate as to any one Insured immediately upon taking over of such
Insured by a receiver or other liquidator or by State or Federal officials,
or
immediately upon the filing of a petition under any State or Federal statute
relative to bankruptcy or reorganization of the Insured, or assignment for
the
benefit of creditors of the Insured. or immediately upon such Insured ceasing
to
exist, whether through merger into another entity, or by disposition of all
of
its assets.
The
Underwriter shall refund the unearned premium computed at short rates in
accordance with the standard short rate cancellation tables if terminated by
the
Insured or pro rata if terminated for any other reason.
This
Bond
shall terminate
| (a) |
as
to any Employee as soon as any partner, officer or supervisory
Employee of
the Insured, who is not in collusion with such Employee, shall
learn of
any dishonest or fraudulent act(s), including Larceny or Embezzlement
on
the part of such Employee without prejudice to the loss of any
Property
then in transit in the custody of such Employee (See Section 16[d]),
or
|
|
(b)
|
as
to any Employee 60 days after receipt by each Insured and by the
Securities and Exchange Commission of a written notice from the
Underwriter of its desire to terminate this bond as to such Employee,
or
|
|
(c)
|
as
to any person, who is a partner, officer or employee of any Electronic
Data Processor covered under this bond, from and after the time
that the
Insured or any partner or officer thereof not in collusion with
such
person shall have knowledge or information that such person has
committed
any dishonest or fraudulent act(s), including Larceny or Embezzlement
in
the service of the Insured or otherwise, whether such act be committed
before or after the time this bond is
effective.
|
| SECTION 14. |
RIGHTS
AFTER TERMINATION OR CANCELLATION
|
At
any
time prior to the termination or cancellation of this bond as an entirety,
whether by the Insured or the Underwriter, the Insured may give to the
Underwriter notice that it desires under this bond an additional period of
12
months within which to discover loss sustained by the Insured prior to the
effective date of such termination or cancellation and shall pay an additional
premium therefor.
Upon
receipt of such notice from the Insured, the Underwriter shall give its written
consent thereto; provided, however, that such additional period of time shall
terminate immediately;
| (a) |
on
the effective date of any other insurance obtained by the Insured,
its
successor in business or any other party, replacing in whole or
in part
the insurance afforded by this bond, whether or not such other
insurance
provides coverage for loss sustained prior to its effective date,
or
|
| (b) |
upon
takeover of the Insured’s business by any State or Federal official or
agency, or by any receiver or liquidator, acting or appointed for
this
purpose
|
without
the necessity of the Underwriter giving notice of such termination. In the
event
that such additional period of time is terminated, as provided above, the
Underwriter shall refund any unearned premium.
The
right
to purchase such additional period for the discovery of loss may not be
exercised by any State or Federal official or agency, or by any receiver or
liquidator, acting or appointed to take over the Insured’s business for the
operation or for the liquidation thereof or for any other purpose.
| SECTION 15. |
CENTRAL
HANDLING OF SECURITIES
|
Securities
included in the systems for the central handling of securities established
and
maintained
by Depository Trust Company, Midwest Depository Trust Company, Pacific
Securities Depository Trust Company, and Philadelphia Depository Trust Company,
hereinafter called Corporations, to the extent of the Insured’s interest therein
as effective by the making of appropriate entries on the books and records
of
such Corporations shall be deemed to be Property.
The
words
“Employee” and “Employees”
shall be deemed to include the officers, partners, clerks and other employees
of
the New York Stock Exchange, Boston Stock Exchange, Midwest Stock Exchange,
Pacific Stock Ex-change and Philadelphia Stock Exchange, hereinafter called
Exchanges, and of the above named Corporations, and of any nominee in whose
name
is registered any security included within the systems for the central handling
of securities established and maintained by such Corporations, and any employee
of any recognized service company, while such officers, partners, clerks and
other employees and employees of service companies perform services for such
Corporations in the operation of such systems. For the purpose of the above
definition a recognized service company shall be any company providing clerks
or
other personnel to said Exchanges or Corporation on a contract
basis.
The
Underwriter shall not be liable on account of any loss(es) in connection with
the central handling of securities within the systems established and maintained
by such Corporations, unless such loss(es) shall be in excess of the amount(s)
recoverable or recovered under any bond or policy of insurance indemnifying
such
Corporations, against such loss(es), and then the Underwriter shall be liable
hereunder only for the Insured’s share of such excess loss(es), but in no event
for more than the Limit of Liability
applicable
hereunder.
For
the
purpose of determining the Insured’s share of excess loss(es) it shall be deemed
that the Insured has an interest in any certificate representing any security
included within such systems equivalent to the interest the Insured then has
in
all certificates representing the same security included within such systems
and
that such Corporations shall use their best judgement in apportioning the
amount(s) recoverable or recovered under any bond or policy of insurance
indemnifying such Corporations against such loss(es) in connection with the
central handling of securities within such systems among all those having
an
interest as recorded by appropriate entries in the books and records of such
Corporations in Property involved in such loss(es) on the basis that each such
interest shall share in the amount(s) so recoverable or recovered in the ratio
that the value of each such interest bears to the total value of all such
interests and that the Insured’s share of such excess loss(es) shall be the
amount of the Insured’s interest in such Property in excess of the amount(s) so
apportioned to the Insured by such Corporations.
This
bond
does not afford coverage in favor of such Corporations or Exchanges or any
nominee in whose name is registered any security included within the systems
for
the central handling of securities established and maintained by such
Corporations, and upon payment to the Insured by the Underwriter on account
of
any loss(es) within the systems, an assignment of such of the Insured’s rights
and causes of action as it may have against such Corporations or Exchanges
shall
to the extent of such payment, be given by the Insured to the Underwriter,
and
the Insured shall execute all papers necessary to secure to the Underwriter
the
rights provided for herein.
| SECTION 16. |
ADDITIONAL
COMPANIES INCLUDED AS INSURED
|
If
more
than one corporation, co-partnership
or
person or any combination of them be included as the Insured
herein:
| (a) |
the
total liability of the Underwriter hereunder for loss or losses
sustained
by any one or more or all of them shall not exceed the limit for
which the
Underwriter would be liable hereunder if all such loss were sustained
by
any one of them,
|
| (b) |
the
one first named herein shall be deemed authorized to make, adjust
and
receive and enforce payment of all claims hereunder and shall be
deemed to
be the agent of the others for such purposes and for the giving
or
receiving of any notice required or permitted to be given by the
terms
hereof, provided that the Underwriter shall furnish each named
Investment
Company with a copy of the bond and with any amendment thereto,
together
with a copy of each formal filing of the settlement of each such
claim
|
|
prior
to the execution of such
settlement,
|
|
(c)
|
the
Underwriter shall not be responsible for the proper application
of any
payment made hereunder to said first named
Insured,
|
| (d) |
knowledge
possessed or discovery made by any partner, officer or supervisory
Employee of any Insured shall for the purposes of Section 4 and
Section 13
of this bond constitute knowledge or discovery by all the Insured,
and
|
|
(e)
|
if
the first named Insured ceases for any reason to be covered under
this
bond, then the Insured next named shall thereafter be considered
as the
first named Insured for the purposes of this
bond.
|
| SECTION 17. |
NOTICE
AND CHANGE OF CONTROL
|
Upon
the
Insured’s obtaining knowledge of a transfer of its outstanding voting securities
which results in a change in control (as set forth in Section 2(a) (9) of the
Investment Company Act of 1940) of the Insured, the Insured shall within thirty
(30) days of such knowledge give written notice to the Underwriter setting
forth:
| (a) |
the
names of the transferors and transferees (or the names of the beneficial
owners if the voting securities are requested in another name),
and
|
| (b) |
the
total number of voting securities owned by the transferors and
the
transferees (or the beneficial owners), both immediately before
and after
the transfer, and
|
|
(c)
|
the
total number of outstanding voting
securities.
|
As
used
in this section, control means the power to exercise a controlling influence
over the management or policies of the Insured.
Failure
to give the required notice shall result in termination of coverage of this
bond, effective upon the date of stock transfer for any loss in which any
transferee is concerned or implicated.
Such
notice is not required to be given in the case of an Insured which is an
Investment Company.
| SECTION 18. |
CHANGE
OR MODIFICATION
|
This
bond
or any instrument amending or effecting same may not be changed or modified
orally.
No changes in or modification thereof shall
be
effective unless made by written endorsement issued to form a part hereof over
the signature of the Underwriter’s Authorized Representative. When a bond covers
only one Investment Company
no change or modification which would
adversely affect the rights of the Investment Company shall be effective prior
to 60 days after written notification has been furnished to the Securities
and
Exchange Commission, Washington, D.C. by the Insured or by the Underwriter.
If
more than one Investment Company is named as the Insured herein, the Underwriter
shall give written notice to each Investment Company and to the Securities
and
Exchange
Commission, Washington, D.C. not less
than 60
days prior to the effective
date of any change or modification which would adversely affect the rights
of
such Investment Company.
IN
WITNESS WHEREOF, the Underwriter has caused this bond to be executed on the
Declarations Page.
RIDER# 1
This
endorsement, effective12:01
am November
4, 2005 forms
a
part
of
policy number494-68-07
issued
to
MASSMUTUAL
PARTICIPATION INVESTORS
by National
Union Fire Insurance Company of Pittsburgh, Pa.
OFAC
ENDORSEMENT
In
consideration of the premium charged, it is hereby understood and agreed that
payment of loss under this policy shall only be made in full compliance with
all
United States of America economic or trade sanction law or regulation,
including, but not limited to, sanction laws and regulations administered and
enforced by the U.S. Treasury Department’s Office of Foreign Assets Control
(“OFAC”).
ALL
OTHER
TERMS, CONDITIONS AND EXCLUSIONS REMAIN UNCHANGED.
Authorized Representative |
|
END 001
| 87435 (5/05) | Page 1 of 1 |
RIDER# 2
This
rider, effective 12:01
am November
4, 2005 forms
a
part of
bond
number494—68—07
issued
to
MASSMUTUAL
PARTICIPATION INVESTORS
by National
Union Fire Insurance Company of Pittsburgh, Pa.
COMPUTER
SYSTEMS FRAUD
It
is
agreed that:
| 1. |
The
attached bond is amended by adding an additional Insuring Agreement
as
follows:
|
COMPUTER
SYSTEMS
Loss
resulting directly from a fraudulent
| (1) |
entry
of data into, or
|
| (2) |
change
of data elements or programs within
|
a
Computer System; provided the fraudulent entry or change causes
| (a) |
Property
to be transferred, paid or
delivered,
|
| (b) |
an
account of the Insured, or of its customer, to be added, deleted,
debited
or credited, or
|
| (c) |
an
unauthorized account or a fictitious account to be debited or
credited;
|
| (3) |
voice
instructions or advices having been transmitted to the Insured or
its
agent(s) by telephone;
|
and
provided further, the fraudulent entry or change is made or caused by an
individual acting with the manifest intent to:
| (a) |
cause
the Insured or its agent(s) to sustain a loss,
and
|
| (b) |
obtain
financial benefit for that individual or for other persons intended
by
that individual to receive financial
benefit,
|
| (c) |
and
further provided such voice instructions or
advices:
|
| (i) |
were
made by a person who purported to represent an individual authorized
to
make such voice instructions or advices;
and
|
| (ii) |
were
electronically recorded by the Insured or its
agent(s).
|
RIDER
2
RIDER#
2 (Continued)
This
rider, effective 12:01
am November
4, 2005 forms
a
part of
bond
number494—68—07
issued
to
MASSMUTUAL
PARTICIPATION INVESTORS
by National
Union Fire Insurance Company of Pittsburgh, Pa.
| (4) |
It
shall be a condition to recovery under the Computer Systems Rider
that the
Insured or its agent(s) shall to the best of their ability electronically
record all voice instructions or advices received over telephone.
The
Insured or its agent(s) warrant that they shall make their best efforts
to
maintain the electronic recording system on a continuous basis. Nothing,
however, in this Rider shall bar the Insured from recovery where
no
recording is available because of mechanical failure of the device
used in
making such recording, or because of failure of the media used to
record a
conversation from any cause, or error or omission of any Employee(s)
or
agent(s) of the Insured.
|
SCHEDULE
OF SYSTEMS
Insureds
Proprietary System
| 2. |
As
used in this Rider, Computer System
means
|
| (a) |
computers
with related peripheral components, including storage components,
wherever
located,
|
|
(b)
|
systems
and applications software,
|
| (c) |
terminal
devices,
|
| (d) |
related
communication networks or customer communication systems,
and
|
| (e) |
related
Electronic Funds Transfer Systems,
|
by
which
data are electronically collected, transmitted, processed, stored, and
retrieved,
| 3. |
In
addition to the exclusions in the attached bond, the following exclusions
are applicable to this Insuring
Agreement:
|
| (a) |
1055
resulting directly or indirectly from the theft of confidential
information, material or data;
and
|
| (b) |
1055
resulting directly or indirectly from entries or changes made by
an
individual authorized to have access to a Computer System who acts
in good
faith on instructions, unless such instructions are given to that
individual by a software contractor (or by a partner, officer or
employee
thereof) authorized by the Insured to design, develop, prepare,
supply
service, write or implement programs for the Insured’s Computer
System.
|
RIDER
2
RIDER#
2 (Continued)
This
rider, effective 12:01
am November
4, 2005 forms
a
part of
bond
number494—68—07
issued
to
MASSMUTUAL
PARTICIPATION INVESTORS
by National
Union Fire Insurance Company of Pittsburgh, Pa.
| 4. |
The
following portions of the attached bond are not applicable to this
Rider:
|
| (a) |
the
initial paragraph of the bond preceding the Insuring Agreements
which
reads “at any time but discovered during the Bond
Period,”
|
| (b) |
Section
9-NON-REDUCTION AND NON-ACCUMULATION OF LIABILITY AND TOTAL
LIABILITY
|
| (c) |
Section
1 a-LIMIT OF LIABILITY
|
|
5.
|
The
coverage afforded by this rider applies only to loss discovered by
the
Insured during the period this Rider is in
force.
|
| 6. |
All
loss or series of losses involving the fraudulent activity of one
individual, or involving fraudulent activity in which one individual
is
implicated, whether or not that individual is specifically identified,
shall be treated as one loss. A series of losses involving unidentified
individuals but arising from the same method of operation may be
deemed by
the Underwriter to involve the same individual and in that event
shall be
treated as one loss.
|
|
7.
|
The
Limit of Liability for the coverage provided by this Rider shall
be
One
Million Dollars
($1,000,000).
|
| 8. |
The
Underwriter shall be liable hereunder for the amount by which one
loss
shall be in
excess of Twenty
Five Thousand Dollars ($25,000) (herein
called the Deductible
Amount) but not in excess of the Limit of Liability stated
above.
|
| 9. |
If
any loss is covered under this Insuring Agreement and any other Insuring
Agreement or Coverage, the maximum amount payable for such loss shall
not
exceed the largest amount available under anyone Insuring Agreement
or
Coverage.
|
| 10. |
Coverage
under this Rider shall terminate upon termination or cancellation
of the
bond to which this Rider is attached. Coverage under this rider may
also
be terminated or cancelled without cancelling the bond as an
entirety:
|
| (a) |
60
days after receipt by the Insured of written notice from the
Underwriter
of its desire to terminate or cancel coverage under this Rider,
or
|
RIDER
2
RIDER#
2 (Continued)
This
rider, effective 12:01
am November
4, 2005 forms
a
part of
bond
number494—68—07
issued
to
MASSMUTUAL
PARTICIPATION INVESTORS
by National
Union Fire Insurance Company of Pittsburgh, Pa.
| (b) |
immediately
upon receipt by the Underwriter of a written request from the Insured
to
terminate or cancel coverage under this
Rider.
|
The
Underwriter shall refund to the Insured the unearned premium for this
coverage
under
this Rider. The refund shall be computed at short rates if this Rider is
terminated or cancelled or reduced by notice from, or at the instance of, the
Insured.
| 11. |
Section
4-LOSS-NOTICE-PROOF-LEGAL PROCEEDING of the Conditions and Limitations
of
this bond is amended by adding the following
sentence:
|
“Proof
of
Loss resulting from Voice Instructions or advices covered under this bond shall
include Electronic Recordings of such Voice Instructions or
advices.”
| 12. |
Notwithstanding
the foregoing, however, coverage afforded by this Rider is not
designed to
provide protection against loss covered under a separate Electronic
and
Computer Crime Policy by whatever title assigned or by whatever
Underwriter written. Any loss which is covered under such separate
Policy
is excluded from coverage
under this bond; and the Insured agrees to make claim for such
loss
under
its separate Policy.
|
|
Authorized Representative |
|
RIDER
2
RIDER#
3
This
rider, effective 12:01
am November
4, 2005 forms
a
part of
bond
number494—68—07
issued
to
MASSMUTUAL
PARTICIPATION INVESTORS
by National
Union Fire Insurance Company of Pittsburgh, Pa.
SCHEDULE
OF NAMED INSURED
It
is
hereby understood and agreed that:
| 1. |
The
Named Insured under the attached bond shall include all funds included
in
the family of funds for the Named
Insured.
|
| 2. |
If
the Insured shall, while this bond is in force, establish any new
funds
other than by consolidation or merger with, purchase or acquisition
of
assets or liabilities of, another institution, such funds shall
automatically be covered hereunder from the date of such establishment
without the payment of additional premium for the remainder of
the premium
period.
|
| 3. |
Nothing
herein contained shall be held to vary, alter, waive or extend
any of the
terms, limitations conditions or agreements of the attached bond
other
than as above stated.
|
|
Authorized Representative |
|
RIDER
3
RIDER#
4
This
endorsement, effective 12:01
am November
4, 2005 forms
a
part of
policy
number 494-68-07
issued
to MASSMUTUAL
PARTICIPATION INVESTORS
by National
Union Fire Insurance Company of
Pittsburgh,
Pa.
FORMS
INDEX ENDORSEMENT
The
contents of the Policy is comprised of the following forms:
|
FORM
NUMBER
|
EDITION
DATE
|
FORM
TITLE
|
|
81285
|
01/03
|
Investment
Company Blanket
Bond DEC
Tria
Dec Disclosure Form
|
|
41206
|
9/84
|
Investment
Company Blanket Bond GUTS
|
|
87435
|
05/05
|
OFAC
ENDORSEMENT
COMPUTER
SYSTEMS
FRAUD
SCHEDULE
OF NAMED INSURED
|
|
78859
|
10/01
|
FORMS
INDEX ENDORSEMENT
|
|
Authorized Representative |
|
| 78859 (10/01) |
END
004
|
|
Page
1 of 1
|
RIDER# 5
This
rider, effective 12:01
am November
4, 2005 forms
a
part
of
bond
number494-68-07
issued
to
MASSMUTUAL
PARTICIPATION INVESTORS
by National
Union fire Insurance Company of Pittsburgh, Pa.
Add
Named Insured
It
is
agreed that:
| 1. |
Item
1 of the Declarations page, Name of Insured (herein called Insured),
is
amended to include the
following:
|
MassMutual
Corporate Investors
| 2. |
Nothing
contained herein shall be held to vary, alter, waive, or extend
any of the
terms,
limitations, conditions or agreements of the attached policy other
than
as
above stated.
|
|
|
RIDER
5
RIDER# 6
This
rider, effective 12:01
am November
4, 2005 forms
a
part of
bond
number 494—68—07
issued
to
MASSMUTUAL
PARTICIPATION INVESTORS
by National
Union fire Insurance Company of Pittsburgh, Pa.
Amend
Mailing Address
| 1. |
In
consideration of the premium charged, it is hereby understood and
agreed
that Item 1 of the Declarations page, Principal Address, is deleted
in its
entirety and replaced with the
following:
|
1500
Main
Street
Springfield,
MA 01 144
| 2. |
Nothing
contained herein shall be held to vary, alter, waive, or extend
any of the
terms, limitations, conditions or agreements of the attached policy
other
than as above stated.
|
|
|
|
RIDER
6
RIDER#
7
This
rider, effective 12:01
am November
4, 2005 forms
a
part of
bond
number494-68-07
issued
to
MASSMUTUAL
PARTICIPATION INVESTORS
by National
Union Fire Insurance Company of Pittsburgh, Pa,
Amend
Declarations Page
It
is
hereby understood and agreed that:
| 1. |
The
attached bond is amended by deleting Insuring Agreement (E) FORGERY
&
ALTERATION and replacing with the
following:
|
| Amount applicable to: | Limit of Liability | Deductible | |
| Insuring Agreement (E) FORGERY & ALTERATION | $1,275,000 | $10,000 |
| 2. |
Nothing
herein contained shall be held to vary, alter, waive or extend any
of the
terms, limitations conditions or agreements or the attached policy
other
than as above stated.
|
|
|
|
RIDER
7