Vesttoo

Clear Blue originally filed the suit in late 2023, alleging reckless conduct and misrepresentation.

The documents figure in a potential criminal case against a CCB employee.

The man is alleged to have conspired with others to falsify LOCs and collateral letters.

White Rock claims CCB was responsible for the “lion’s share” of fraudulent letters of credit.

Bermuda liquidators had earlier objected to out-of-court agreements between parties.

The approval takes account of several out-of-court settlements.

Procedural expenses in the case have been as high as $100,000 per day.

All parties interested in the case have agreed to participate in the process.

The conflict between US and Bermuda legal systems offers no easy route for counterparties to fraud-impacted transactions.

Growth driven by 14% expansion in reinsurance solutions division.

The committee claims Chaucer waited until it had ‘maximum leverage’ over other debtors.

The debtors are challenging the US courts for not addressing cross-border issues.

The investment comes in exchange for a $49mn surplus note from HOA and the acquisition of HOA’s rights to potential claims stemming from the Vesttoo fraud.

The motion was filed by Chaucer Insurance Company and Chaucer Syndicates, as managing agent of Lloyd’s Syndicate 1084.

The “convenience claims” route to payout will be limited to claims up to $200,000.

The year brought a degree of closure on the loss-hit years of 2017-2021, while the outlook remains changeable for ILS managers.

The lawsuit, filed Thursday on behalf of Clear Blue and its subsidiaries, alleges that Aon conducted insufficient due diligence on the ILS InsurTech.

The Trustee had sought to accelerate the liquidation process while avoiding significant admin costs.

Under the agreement, reached late on Monday, Vesttoo would sell its assets in a transaction that would close by December 1, 2023.

A credit loss owing to a fraudulent letter of credit from Vestto added 1 point to the combined ratio in Q3, insurance president Jeremy Noble told analysts during a conference call.

In a motion filed Friday, the trustee requested to convert Vesttoo’s Chapter 11 case to Chapter 7 so that “an independent fiduciary can wind down the debtor’s affairs and avoid significant administrative costs”.

Doing so would save “at least $8.5mn in cash” based on the firm’s monthly operational expenditures, according to a recent motion.

Creditors already have authorisation to access Vesttoo’s data as part of their investigation.

The motion seeks discovery of information and documents about the structure and operation of White Rock’s cells.