Defendant Name: AmTrust Financial Services, Inc.

Defendant Type: Public Company

Document Reference: LR-24838

Document Details

Legal Case Name SEC v. AmTrust Financial Services, Inc. and Ronald E. Pipoly, Jr.
Document Name Insurance Company and Former CFO Charged with Faulty Loss Reserves Disclosures
Document Date 17-Jun-2020
Document Format Civil Proceeding
Case Number 20-cv-04652
Federal District Court New York, Southern District of New York
Allegation Type Issuer Reporting and Disclosure
Document Summary The Commission stated that: "[It] charged international insurance company AmTrust Financial Services, Inc. and its former CFO Ronald E. Pipoly Jr. with failing to disclose material facts about how the company estimated its insurance losses and reserves. They have agreed to pay a combined $10.5 million to settle the SEC's charges."

Disgorgement & Penalty Information

Resolutions
Injunction
Monetary Penalties:

Civil Penalty

Individual:     $10,300,000.00 Shared:    

Related Documents:

comp-pr2020-135 17-Jun-2020 Complaint
Complaint
The SEC stated: "From March 16, 2010 through February 29, 2016 (the “Relevant Period”), AmTrust failed to disclose the Company’s process for reporting management’s best estimate of loss reserves — a process performed by Pipoly, the Company’s former Chief Financial Officer (“CFO”)."
2020-135 17-Jun-2020 Press Release--Civil Action
Insurance Company and Former CFO Charged With Faulty Loss Reserves Disclosures
The Commission stated that: "[It] charged international insurance company AmTrust Financial Services Inc. and its former CFO Ronald E. Pipoly Jr. with failing to disclose material facts about how the company estimated its insurance losses and reserves. They have agreed to pay a combined $10.5 million to settle the SEC’s charges."
court_doc10_20-cv-04652 19-Jun-2020 Court Docket Document
Final Judgment as to AmTrust Financial Services, Inc.
On June 19, 2020, the Court issued a final Judgment as to AmTrust Financial Services, Inc. stating: "Defendant AmTrust Financial Services, Inc. ("Defendant") consented to entry of this Final Judgment without admitting or denying the allegations of the Complaint (except as to jurisdiction); waived findings of fact and conclusions of law; and waived any right to appeal from this Final Judgment."

Other Defendants in Action:

Ronald E. Pipoly, Jr.