Jury Awards $27M in Defamation Lawsuit to Fired Allstate Employees

Jury Awards $27M in Defamation Lawsuit to Fired Allstate Employees

The employees were fired in December 2009 for allegedly timing trades to boost their own incentive bonuses at the expense of the company’s investment portfolios.

allstate-logoProperty Casualty 360 reported that four former Allstate employees have been awarded more than $27 million by a federal jury in a defamation lawsuit against the company, according to a recent report in the Chicago Tribune.

The employees, all part of a now-defunct equity division at Allstate, were fired in December 2009 for allegedly timing trades to boost their own incentive bonuses at the expense of the company’s investment portfolios.

Allstate blamed “some employees” in a February 2010 Securities and Exchange Commission filing for timing trades, which the company said may have cost the portfolios more than $200 million over six years, while netting $1.2 million in bonuses for equity division employees.

Daniel Rivera, Stephen Kensinger, Deborah Joy Meacock and Rebecca Scheuneman filed the defamation lawsuit in March 2010, claiming they had been falsely accused of wrongdoing by the SEC filing.

The defamation lawsuit took nearly six years to get to trial. The jury verdict, announced June 21st, awarded the employees a total of $27.1 million.

Click here to read the full story.

You May Also Like

Crash Champions, NABC Donate Recycled Rides to California Mom

Crash Champions and the NABC recently donated a refurbished vehicle to a Palm Springs, Calif., mom as part of the NABC’s annual charity golf tournament.

Crash Champions announced that its collision repair team joined hands with the National Auto Body Council (NABC), the Loma Linda Children's Hospital and local non-profit organizations to pull off a celebratory vehicle giveaway on Jan. 17 to a Palm Springs, Calif., mom at the Tahquitz Creek Golf Resort as part of the NABC's annual charity golf tournament.

NABC Announces New Level One Partner

The NABC announced that the Collision Advice Legacy Group Spartan 300 has joined them as a level one partner.

SEMA Battle of the Builders TV Special Premieres Jan. 28

All-new, behind-the-scenes footage and exclusive interviews from the newest SEMA Battle of Builders competition will premiere on Jan. 28, 2023 at 9 a.m. EST on the History Channel’s Drive Block and A+E Network’s FYI.

HD Repair Forum Sets Content for 2023 Conference

The HD Repair Forum announced that it has set its educational sessions for its 2023 conference April 18-19 at the Hilton Fort Worth in Fort Worth, Texas.

Northwood Receives $100K in Scholarship Funds from CDK Global

Northwood University has received a $100,000 gift from CDK Global Inc. to fund scholarships for students enrolled in the university’s Automotive Marketing and Management Program.

Other Posts

NABC Announces Winners of Pars for Cars Golf Fundraiser

Each year, the NABC and its member partners raise funds to support hundreds of NABC Recycled Rides car presentations to those in need.

AASP-MN to Hold 21st Annual Race for Automotive Education

This event serves as the primary fundraiser for the AASP-MN Automotive Education Fund, which provides financial resources to automotive students.

Crash Champions Acquires Crocketts Premier Auto Body

Crash Champions announced it has finalized the acquisition of Crocketts Premier Auto Body in Pinole, Calif.

NABC Gifts Recycled Ride to Kansas City Mom

The NABC, along with GEICO, CARSTAR Metcalf, Meineke Car Care and Premiere Services, recently gifted a refurbished vehicle to a Kansas City mother and her special-needs child via the Recycled Rides program.