Garamendi: Guilty Plea Would Advance Exec Life Civil Suit
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A guilty plea in a government investigation concerning allegations of manipulation in the purchase of the junk bond portfolio of the failed Executive Life Insurance Company would advance a civil suit being pursued by California Insurance Commissioner John Garamendi, the commissioner says.
A representative for the U.S. attorney's office said an agreement in principle is pending with the French bank Credit Lyonnais and a French government agency, Consortium de Realisation, according to an article in The New York Times. At press time, the U.S. attorney's office could not be reached for comment.