Insurer Must Defend In Stanford Ponzi Scheme Cases

Law360, New York (January 6, 2010, 5:41 PM EST) -- Endurance American Specialty Insurance Co. must pay defense costs for an insurance brokerage that was accused of colluding with Stanford International Bank in a Ponzi scheme in which it fraudulently sold $8 billion in certificates of deposits.

Judge Nancy Atlas of the U.S. District Court for the Southern District of Texas issued the ruling Monday, though she declined to rule on whether the insurer must indemnify the broker because the underlying cases are still pending.

Bowen Miclette & Britt Inc., the broker, and Robert S. Winter,...
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