Contractor Wins Defense Coverage In NASA Kickback Probe

Law360, New York (September 11, 2013, 2:28 PM EDT) -- A Virginia federal judge on Tuesday found that Starr Indemnity & Liability Co. must pick up defense costs for a security contractor related to an investigation for allegedly defrauding NASA and other agencies in a $31 million kickback scheme, including costs related to a search warrant and subpoena.

U.S. District Judge Liam O’Grady agreed with Arlington, Va.-based Protection Strategies Inc. that under the policy it purchased from Starr, the insurer has a duty to fully reimburse certain defense costs incurred by Dickstein Shapiro LLP, PSI’s counsel,...
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