Bank Says Reinsurer’s Proposed Amendment in $4.5M Fraudulent Transfer Case is Futile

ORLANDO, Fla. — Truist Bank has asked a Florida federal judge to deny a reinsurer’s motion to amend its complaint in its action accusing the bank of negligently allowing $4.5 million in reinsurance proceeds to be fraudulently transferred to a scammer, arguing that the proposed amendment is futile.

In a July 25 motion filed before Judge Anne Conway of the U.S. District Court for the Middle District of Florida, Truist argues that Counts I and II of the proposed second amended complaint are futile because Barents Reinsurance S.A. lacks privity with the bank and therefore cannot state a claim under …