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Mr. D<strong>or</strong>fman was killed on January 20 1<br />

1983.<br />

On February 1, 1983, the Fund took over its<br />

own claims processing. In my view/th<strong>at</strong> was the most<br />

significant day in the hist<strong>or</strong>y of the Fund. The end<br />

result of litig<strong>at</strong>ion brought by the Fund and the Depart­<br />

ment of Lab<strong>or</strong> against the D<strong>or</strong>fman interests was a re­<br />

covery by the Fund of $6.4 million.<br />

In addition, we <strong>have</strong> established an internal<br />

administr<strong>at</strong>ion th<strong>at</strong> is widely regarded as superi<strong>or</strong>.<br />

And I think it's regarded in vario<strong>us</strong> health benefit and<br />

pension benefit plans around the country. And we <strong>have</strong><br />

many people come look <strong>at</strong> our plans now.<br />

We <strong>have</strong> installed thirty professional managers<br />

in every department of the Fund. F<strong>or</strong> example, our<br />

finance direct<strong>or</strong> is a f<strong>or</strong>mer partner of Arthur Young.<br />

Our general counsel is the f<strong>or</strong>mer Chief J<strong>us</strong>tice of the<br />

Missouri Supreme Court.<br />

We <strong>have</strong> in Ron Kubalanza, our oper<strong>at</strong>ions<br />

direct<strong>or</strong>, I will tell <strong>you</strong>, one of the finest health care<br />

executives in <strong>this</strong> country. We <strong>have</strong> effective cost<br />

control centers in every department. We continue to<br />

make gre<strong>at</strong> progress in our auditing eff<strong>or</strong>ts. We <strong>have</strong><br />

placed gre<strong>at</strong> emphasis on internal auditing. And our<br />

internal audit<strong>or</strong> is a f<strong>or</strong>mer Price W<strong>at</strong>erho<strong>us</strong>e partner.

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