Willis Brokers Offer Differing Accounts In WTC Trial

Attacked during cross examination was Nicholas Dunlop, director of Willis global markets, who said a Willis broker had told him that the program coverage insuring the Trade Center was bound by a Travelers form in July 2001.

The issue of what form applied is a key one. Insurers contend that a Willis "Wilprop form" controlled the coverage. Under that form the destruction of the Trade Center would be one compensable claim worth $3.5 billion.

Mr. Dunlop held a supervisory role over Tim Boyd, the Willis of New York broker in charge of placing WTC property insurance program. He said that on July 17, 2001, Mr. Boyd told him that "the program was completed" and that "we were using the Travelers form on the program."

"He told me?the program was placed and bound with Travelers in the primary layer and we were using the Travelers form on the program," Mr. Dunlop told jurors under direct examination by Herbert Wachtell from Wachtell Lipton Rosen & Katz, who is the lead attorney for Mr. Silverstein.

But Barry Ostrager from Simpson Thacher & Bartlett LLP, who is the lead attorney for the Swiss Reinsurance Company, suggested that Mr. Dunlop was incorrect when he stated that Mr. Boyd told him that the Travelers form was the form for the entire program. Mr. Dunlop insisted that Mr. Boyd had said this.

But Mr. Ostrager confronted him with Mr. Boyd's testimony that Travelers had only insisted on the use of the Travelers form for Travelers' participation and that Travelers did not care what form applied to other insurers on the program.

Mr. Dunlop denied Mr. Boyd had told him this.

Mr. Ostrager also secured an admission from Mr. Dunlop that he had not directed anyone at Willis to tell any participating underwriters about the alleged switch from the form initially provided by Willis to the one from Travelers Property Casualty.

"It's correct that you didn't tell anyone at Willis to advise underwriters that the Travelers form was going to be used as the basis for the coverage, correct?" Mr. Ostrager asked Mr. Dunlop.

"As far as I can recall, I did not," he responded.

Attorneys from both camps will put on their closing arguments April 14 and 15, with Judge Mukasey instructing the jurors on the law April 19, before their deliberations.