Allianz Gutted Defunct Insurer Magnolia, Fla. Says

Law360, New York (March 26, 2013, 6:01 PM EDT) -- Florida officials claim global insurance giant Allianz SE looted the now-defunct Magnolia Insurance Co. with exorbitant fees for loan and business transactions that left Magnolia insolvent and drove it into receivership, ultimately bilking policyholders and creditors out of $13 million, according to a state court complaint filed Friday.

The Florida Department of Financial Services, the statutory receiver for Magnolia after it was placed under state supervision in 2010, claims Allianz and its affiliates engaged in an elaborate scheme to exercise excessive control to loot Magnolia’s business...
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