Posted on 16 Nov 2009
On Friday, according to a person familiar with the matter, New York Attorney General Andrew Cuomo's office asked a state judge to dismiss criminal charges against two former executives of insurance broker Marsh Inc. in an alleged bid-rigging scheme.
Cuomo's office asked New York State Supreme Court Justice James Yates to dismiss the indictments against former Marsh executives Thomas T. Green Jr. and William L. McBurnie, citing the potential cost in pursuing another lengthy trial following the acquittal of three former executives last month, the person said. Marsh is a unit of Marsh & McLennan Cos.
The dismissal, if approved by Judge Yates, would end a four-year-old pursuit of allegations of improper bid-rigging in the insurance industry. The cases were originally brought by former Attorney General Eliot Spitzer.
Last month, former Marsh executive Joseph Peiser and two subordinates, Greg Doherty and Kathleen Drake, were found not guilty of criminal charges after a lengthy trial before Yates.
In February 2008, two other former executives, William Gilman and Edward J. McNenney, were found guilty of an antitrust charge, but acquitted of other charges.
In January 2005, Marsh & McLennan itself agreed to pay $850 million to settle allegations by Spitzer of bid rigging and of steering business to insurers who paid Marsh the highest "contingent commissions."