Pa. Officials Reach $85 Million Settlement with Former Reliance Insurance Directors

February 25, 2005

  • February 25, 2005 at 10:35 am
    Mr. T says:
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    I agree with Dragr. If we continue to let these people off so easily, with just a slap on the wrist, they will continue to do this over and over. What is money to these people? Nothing, just a minor price to pay. BUT if these thieves start to serve some hard time, on a regular jail, not on a “cupcake camp” or a golf course jail, then others will think it twice before they attempt a similar “Slimebergate”. Let’s set a few examples of this. Let’s show we have the ba–s to go after these “powerful” weasels.

    Our society’s law enforcement is backwards. A homeless, mentally sick drunk steals food to eat, and he goes to jail. Who did he harm by stealing an apple? No one. But these weasels destroy the lives of hundreds of families, children etc., and these weasels walk, only paying a fine (money which they stole to begin with…) What type of society law enforcement do we have?

  • February 25, 2005 at 1:05 am
    Dragr says:
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    The Slimebergs ought to have ended up in the slammer for what they did to that company and it’s employees. Hundreds of lives have been adversely affected by their greed. What is the outcome of the action involving the Reliance 401k plan? They forced employees’ matching funds to go solely into Corporate stock, which is now worthless. They got off too easy.

  • February 28, 2005 at 6:44 am
    Colin Russell says:
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    To what extent has any of Reliance’s reinsurers commuted their liabilities?

  • February 28, 2005 at 6:48 am
    EC says:
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    Does anyone know if Reliance’s D & O policy is paying this fine, or are the directors paying it personally?

  • March 1, 2005 at 2:48 am
    Doug Simpson says:
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    The Reliance case has been going on for almost 4 years, and provides a valuable source of research for serious scholars of the law and practice of insurance regulation. Some thoughts and links to additional Reliance research materials are at Unintended Consequences, a research weblog focusing in part on insurance regulatory law. That includes links to the full text of the settlement agreement that details the complex facts and some of the issues of the case. That’s at: http://www.dougsimpson.com/blog/archives/000377.html

    Doug Simpson
    http://dougsimpson.com

  • September 27, 2006 at 10:40 am
    Robby Shaw says:
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    Hi! I worked for Reliance in San Francisco back in 1966 and I\’m trying to locate a colleague name of Ross Crowley.
    Anybody knowing him please pass this email along to him, thank you, sure would appreciate it. :)

    Robby Shaw
    Cedar Park, TX

  • March 3, 2012 at 2:00 am
    Jan Gorbet says:
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    85 million is nothing just a drop in a buck for the directors and officers of Reliance to pay when you compare it to the Billions they made by cheating claimants out of fair settlements, mishandling of claims, unfair and deliberate acts that the directors and officers
    planned and established as the unwritten company policy and procedures . The less the company paid out the more went into their pockets.

  • April 26, 2021 at 2:24 pm
    Janice Starling says:
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    I worked for Reliance from 1987 to 2009. At the end of my tenure my pension was embarrassing. Employees didn’t get rightful amount from their pension because Saul and Bobby squandered/stole all of our hard earned pension money and we as employee got the crumbs. Thank God for the Pennsylvania State Insurance along with Mr. David Brightling, we did get something. Nothing near what we should have gotten. Thief, thief, thief is the only thing I can call these brothers who didn’t give a dam about their employees and made a life of luxury for themselves. Even after all these years, they did not pay for the crime against their employees, nor have any intentions or remorse to reimburse us for at least something other than a meager pension, they have the nerve to still be able to walk the streets (or shall I say fly in private airplanes) without any remorse or conscience for what they were GUILTY of and how they ruined many families livelihood by stealing our money and forcing us to try and find other employment just to be able to live off this pitiful pension. SHAME, SHAME, SHAME on you Saul and Bobbie.



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