Judge Allows Fraud, Negligent Misrepresentation Claims To Proceed In STOLI Dispute

Mealey's (February 19, 2021, 1:35 PM EST) -- WILMINGTON, Del. — A Delaware judge on Feb. 15 denied a life insurer’s motion to dismiss fraud, negligent misrepresentation and return of premiums counterclaims brought by a securities intermediary in the insurer’s lawsuit arising from a stranger-originated life insurance policy that a receiver controlled following an investment fund’s Ponzi scheme that defrauded nine investors out of more than $800 million....