SDCL § 58-5-131: Filing and hearing on consolidation or merger plan--Grounds for disapproval.

No such merger or consolidation shall go into effect until the plan and agreement therefor is filed with the director and approved by him after a hearing thereon. Such plan and agreement shall be approved by the director within a reasonable time unless he finds such plan or agreement:

(1) Is contrary to law; or

(2) Is inequitable to the policyholders of any domestic insurer involved; or

(3) Would substantially reduce the security of and service to be rendered to policyholders of the domestic insurer.