Calif. Federal Judge Awards Odyssey Re Nearly $4 Million in Fraud Action

SAN DIEGO — A California federal judge has awarded Odyssey Reinsurance Co. summary judgment on its claims against the former owners of Cal-Regent Insurance Services Corp., ordering them to pay the reinsurer nearly $4 million in profits they reaped from the sale of the insurance agency.

In a July 2 order, Judge Ted Moskowitz of the U.S. District Court for the Southern District of California found defendants Richard and Diane Nagby’s transfer of the assets was fraudulent and rendered Cal-Regent insolvent and unable to pay Odyssey commissions.

Cal-Regent was an insurance agency that underwrote certain insurance risks on behalf of …