قالب وردپرس درنا توس
Home / Insurance / Tokyo Marine says Greensill fraudulently issued policies

Tokyo Marine says Greensill fraudulently issued policies



(Reuters) – Companies linked to the insolvent British financier Lex Greensill fraudulently obtained insurance, the insurance company Tokio Marine said on Monday, adding that they did not plan to pay out the insurance and would “strongly defend” themselves against all legal claims.

Greensill’s supply chain finance company collapsed last year, leading to the failure of $ 10 billion in supply chain financing funds run by Credit Suisse.

Greensill administrator Grant Thornton declined to comment on Monday.

Credit Suisse said in a statement that the insurances were valid and that they would also “strongly defend” their position of preserving the rights of the supply chain̵

7;s financial funds and their investors.

Supply Chain Finance aims to reduce financing costs by allowing suppliers to pay their invoices in advance.

Credit Suisse bought debts that were issued by Greensill and that were backed up by loans that the finance company for the supply chain made to companies.

To manage its risk, Greensill took out credit insurance with a subsidiary of Insurance Australia Group. Tokio Marine took on the policies in 2019 when they bought the unit.

Tokyo Marine conducted 2020 surveys of Greensill-related policies written by its Australian subsidiary BCC Trade Credit, a statement said.

“While these investigations are still ongoing, Tokio Marine has found that since at least September 2018, issues that are important to the policy insurer have been incorrectly presented to BCC by Greensill,” Tokio Marine said.

Tokio Marine told insurance counterparties on Monday that their insurance was invalid and said it would “strongly defend” all legal claims against it.

Credit Suisse seeks compensation from insurance companies to restore assets to investors in the supply chain’s financing funds.

It said earlier on Monday that litigation related to Greensill’s supply chain funding funds could take about five years and warned that some investors would not be able to get their money back.

The bank joined Greensill Capital’s creditors by filing lawsuits in Australia seeking compensation from the IAG, court documents showed last month.


Source link