The California State Compensation Insurance Fund board said it has a personnel search underway after abruptly dismissing its president and vice president,

SCIF's board also announced that Lawrence E. Mulryan would serve as interim president. On Tuesday James Tudor was removed from that post with then vice president Renee Koren.

Their ousters were related to a probe into possible conflicts of interest involving the fund's selling of discounted group policies to individual employers, The Los Angeles Times reported.

The board said only that the action came after an "internal review."

Sabrina Lockhart, spokesperson for Gov. Arnold Schwarzenegger, said, "We support the board's actions and its ongoing oversight of state fund operations. It's important the fund performs with the integrity necessary to insure the public's confidence."

Both the board and governor's office said there was little they could say because it was a "personnel matter."

SCIF is the state's workers' comp insurer of last resort.

Interim President Mulryan has been an insurance consultant since 2006. From 1992 to 2006 he was executive director of the California Insurance Guarantee Association (CIGA).

Prior to that, Mr. Mulryan worked in the insurance industry as legal counsel and senior executive which included trade association representation, drafting legislation, and managing and lobbying on legislative matters, the board said.

He is "widely considered one of California's premier insurance experts," said Board Chair Jeanne Cain.

Mr. Mulryan's background also includes over 20 years on the San Rafael City Council, serving three terms as mayor.

Mr. Tudor had been named to the post in September 2006.

Special Reports /

Calif. Comp Fund Seeks New Pres. After Ouster

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