Thank you for sharing!

Your article was successfully shared with the contacts you provided.
Multiple civil lawsuits in assorted courts also sprang from the collapse of the investment scheme. (Photo: Shutterstock)

Insurance companies for a bank used in a $1.2 billion Ponzi scheme are exempted from covering $25 million of the bank’s settlement with some of the parties, a federal appeals court has ruled.

The decision by the U.S. Court of Appeals for the Eleventh Circuit came more than seven years after high-flying Florida lawyer Scott Rothstein pleaded guilty to federal charges stemming from a scheme that defrauded hundreds of investors.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.


  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?

The British Legal Awards 2021Event

Celebrating achievement, excellence, and innovation in the legal profession in the UK.

Get More Information


Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.