Insurance Fraud; RICO Violations; Negotiated Settlement
A property and casualty insurance company, which sold major amounts of casualty insurance to a number of other companies in reliance on fraudulent reinsurance commitments issued by a foreign reinsurance company, was sued in Federal Court in California for fraud and violation of the RICO statutes. The claim against our Client, an independent insurance broker (referred by his corporate counsel), was settled without any payment by the Client and a complete release from any liability on his part.
