Broker Arthur J Gallagher & Co has set aside $35m (£18.2m) to resolve investigations into...
Broker Arthur J Gallagher & Co has set aside $35m (£18.2m) to resolve investigations into its business practices, the company said this week.
In its first quarter results, the broker confirmed it was subject to widespread regulatory and legal claims over contingent commissions and “various other historical business practices.”
The $35m charge represents the broker's "best estimate" of costs, based on industry settlements with Marsh, Aon and Willis.
The company declared a first quarter loss of $74m (£38.5m), compared to a $38.9m (£20.3m) profit in the first quarter of 2004. The company was subject to several million pound litigation costs this quarter.
