March 7, 2005

Government Investigations Uncover Abuses in Insurance Industry

Litigation and Fraud News - Volume 1, Issue 1

The feature article in this issue of the newsletter is Government Investigations Uncover Abuses in Insurance Industry. The article explains that New York Attorney General Eliot Spitzer has expanded his investigative targets from the mutual fund industry to include the insurance industry – a sector that amounts to 10 percent of the national economy. Allegations against some of the world’s largest insurance brokerage firms range from conflicts of interest involving bid-rigging and subsidiary investments, to disclosure regarding inflated earnings and hidden commissions.