Liquidators’ Adversary Action Against N.C. Insurers Stayed Pending Rehab Proceedings

NEW YORK — An adversary proceeding brought by the liquidators of PB Life and Annuity Company Ltd. against four North Carolina insurers must be stayed because it conflicts with an anti-suit injunction issued as part of the insurers’ rehabilitation action, a New York federal judge has affirmed.

In a Feb. 22 order, Judge Edargo Ramos of the U.S. District Court for the Southern District of New York ruled that allowing the adversary proceeding to continue against the insurers would violate the McCarran Ferguson Act.

The Bermuda Monetary Authority filed petitions on behalf of PB Life and Annuity Co. Ltd., Northstar …