A North Carolina insurance company willfully makes a false statement in a financial statement that is required to be filed under oath. Under G.S. 58-2-180, what penalty applies to the company itself?

Why C is correct

Under G.S. 58-2-180, a willful false statement made under oath or in a subscribed filing is a Class I felony for the individual who makes it, and the entity is fined by the court in the amount of $2,000 to $10,000. Because the question targets the company, the entity fine is the operative sanction, separate from any criminal exposure of the individuals who actually made the statement.

Why the other options are wrong

• A) The $2,000 to $10,000 fine under G.S. 58-2-180 is imposed on the entity by the court, not on individual officers; an individual faces a Class I felony instead.
• B) $100 to $1,000 is the Commissioner's general civil penalty under G.S. 58-2-70(d), not the court-imposed fine for a false sworn statement.
• D) $1,000 to $5,000 is the cease-and-desist forfeiture under G.S. 58-63-50, which requires a violated order that is absent here.

Memory hook

False sworn filing: the person gets a felony, the company gets $2k to $10k from the court.