The long-running battle between the Trump Organization Inc. and New York state prosecutors developed an insurance dimension this year when officials alleged that former President Donald Trump’s company used fraud to obtain favorable insurance terms.
In January, New York Attorney General Letitia James filed a petition in state court alleging that Trump’s company misrepresented the source of valuations on financial statements to obtain bail coverage.
The story about the petition was the third most read risk management related story about Business insurancewebsite 2022.
A month earlier, it had been revealed that prosecutors had interviewed employees of Aon PLC, the real estate company̵7;s then-broker, in connection with their investigation of Trump.
More details of the alleged fraud were revealed in September when James finally sued the former president, the Trump Organization and Mr. Trump’s eldest child for financial fraud.
The lawsuit alleged, among other things, that the Trump Organization and other defendants filed false and misleading statements, along with other representations, to obtain financial benefit from the Trump Organization’s surety bond program, which involved surety bonds purchased from Zurich Insurance Group Ltd. placed by Aon, and from its directors and officers insurance companies, which included Everest National Insurance Co.
A judge later overruled motions by the Trumps to dismiss the suit and set a trial date of October 2023.
No. 4 most read story