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December 13, 2004
DJ St. Paul Travelers Subpoenaed On Malpractice Plans
St. Paul Travelers Companies Inc. (STA) was subpoenaed by the New York State Attorney General as part of a continuing government probe into the insurance industry.
In a press release Friday, the insurance and asset management firm said the attorney general's office, headed by Eliot Spitzer, is seeking information related to the underwriting of professional malpractice insurance for lawyers.
St. Paul also warned it may receive additional informational subpoenas from other government or regulatory agencies.
St. Paul has said it will cooperate fully with all informational requests.
The Spitzer-led probe started in October with charges against Marsh & McClennan Cos. (MMC), a broker, for rigging insurance bids.
In November, Spitzer's office subpoenaed St. Paul requesting documents of "non-traditional," or loss-mitigation insurance products, which the attorney general says can be used to burnish a company's accounting.
Company Web site: http://www.stpaultravelers.com
Posted by Tom Troceen