Judge rules policy was voided by money laundering
Lloyd’s will not have to pay $100m (£62.3m) to defend alleged Ponzi fraudster Allen Stanford and fellow directors from its directors and officers insurance, Bloomberg reports.
US District Judge Nancy Atlas said it was more likely than not that Stanford “knowingly committed acts of money laundering”. This violated the terms of the insurance policies and voided coverage.
The executives, who deny any wrongdoing, have claimed that they can’t afford to pay defence lawyers without the Lloyd’s insurance payment.
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