Commissioner’s Rejection Of Artemis Insurance Company Sale Upheld
Last year, Commissioner Poizner denied a request for permission to buy a California insurance company from a foreign company whose owner is the defendant in a multi-billion dollar post-Executive Life Insurance Company insolvency lawsuit brought by Commissioner Poizner. The sale, according to the Commissioner, would have siphoned money out of the United States while a federal court is in the process of determining how much that owner, French company Artemis S.A., ought to pay in compensation for fraud in connection with the disposition of Executive Life assets. The proposed seller in the transaction, Artemis subsidiary Aurora S.A., sued the Commissioner for denying the transaction. A court has now rejected that lawsuit.
San Francisco Superior Court Judge Charlotte Woolard rejected the lawsuit againstВ Commissioner Poizner, ruling that the Commissioner acted properly when he denied approval of a sale transaction that had the potential in his view to cause harm to former policyholders of Executive Life. The suit is part of the on-going fallout resulting from the failure of Executive Life in 1991 and the fraud that was allegedly committed by French companies and companies owned by the French government in the subsequent insolvency proceeding.
July 27, 2010
Posted in: Blog