Defense of Alleged Bid-Rigging SchemeSeptember 16, 2005
In a case garnering a lot of national media attention, Blank Rome is defending the former head of North American Global Broking at an insurance and investment consultant against charges of first-degree scheming to defraud, restraint of trade and competition, and grand larceny brought by New York State Attorney General Eliot Spitzer.
Eight former executives were indicted for their roles in an alleged bid-rigging scheme that purportedly defrauded clients of millions of dollars. The indictment alleges a bid-rigging conspiracy between our client and several major insurance companies to arrange noncompetitive bids from November 1998 to September 2004. The indictment alleges that the former executives set a target figure for the predetermined winner to bid after obtaining losing "B quotes" from other participating companies in order to mislead customers.