(December 7, 2015, 1:24 PM EST) -- NEWARK, N.J. — A New Jersey federal judge held Dec. 3 that the share of padded project bid payments taken by a manufacturer insured’s employee constitute "employee theft" under a commercial crime insurance policy, concluding, however, that there is no coverage for the insured’s claim for the alleged losses it incurred from the inflated amounts paid to and received by an independent contractor (Frazier Industrial Co. v. Navigators Insurance Co., No. 13-1647, D. N.J.; 2015 U.S. Dist. LEXIS 162115).

(Order available. Document #13-151210-012R.)

Inflated Bids...