Safeco Settles Suit Over Bonds Tied To Ponzi Scheme

Law360, New York (May 18, 2012, 5:54 PM EDT) -- CadleRock Joint Venture LP and Safeco Insurance Co. told an Ohio federal court Friday that they had reached a settlement in CadleRock's suit alleging fraud in Safeco's issuance of lease bonds tied to a Ponzi scheme, one suit in multidistrict litigation over Commercial Money Center Inc.'s alleged fraud.

All claims in CadleRock's suit were dismissed under a confidential settlement agreement.

The MDL dates back nearly a decade to when Escondido, Calif.-based CMC leased vehicles and equipment to subprime lessees and then pooled and sold the leases...
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