ESG Re, a Bermuda company with a Dublin based insurance and reinsurance subsidiary, has filed a legal action against Deloitte & Touche (Ireland), Deloitte & Touche (Bermuda), Deloitte & Touche (US) and Mary Fulton, a partner of Deloitte & Touche (Ireland).
ESG Re said the complaint cites professional negligence, wrongful and unjustified breach of contract, negligent misinterpretation and other misconduct relating to the termination of its auditing engagement contract in 2002.
ESG Re is seeking compensation for damages caused, including the loss of existing and potential new business.
The company claims the timing of Deloitte & Touche's action resulted in ESG's inability to file audited Q3 2002 returns on schedule, which lead to a forced de-listing from Nasdaq and the downgrading of its debt rating.
The papers have been filed with the Superior Court of the State of California.
