Individual Surety- Fraud Game Over

Individual Sureties have plagued the surety industry over the past decade because many times the assets purported to back the guarantee were not liquid, or worse, fraudulent.   When an individual surety did not fulfill its guarantee, legitimate corporate sureties and their agents reputations were marred.    The defense bill passed by Congress last week contains a provision to reduce fraud on federal projects by requiring assets backing individual surety bonds to be real and deposited with the federal government.

http://www.enr.com/articles/37986-individual-surety-fraud-game-over

Advertisements
This entry was posted in Bonds, Legislation, Risk Management and tagged , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

w

Connecting to %s