Chubb Insurance could pay out up to Cdn$5 million if deal is reached

Chubb Insurance could pay out up to Cdn$5 million, assuming the approval of a settlement of the class-action lawsuit related to Crocus Investment Fund, CBC.ca reports.
The out-of-court settlement would resolve a Cdn$200-million class action lawsuit over Crocus Investment Fund.
Roughly 34,000 Manitobans contributed a total of about Cdn$150 million into the fund, the CBC reported.
Crocus Investment Fund ceased trading in December of 2004 due to concerns about true share value.
In April 2005, the fund dropped the value of its shares to below $7 one-third less the value of the shares when the fund ceased trading in December 2004, the CBC reported.
The company went into receivership in the middle of 2005.
The Crocus Investors Association filed a class action lawsuit in July 2005.
The CBC has reported Chubb would pay out as much as Cdn$5 million in exchange for all of the fund’s directors and officers to be dropped from the suits.
The deal, however, would only omit directors and officers; other defendants would remain in the class action.
The government of Manitoba, the Manitoba Securities Commission, PricewaterhouseCoopers, BMO Nesbitt Burns and Wellington West Capital would all still remain as defendants, CBC.ca reports.
Details of the Chubb settlement are expected Jan. 14, Jay Prober, lawyer for the clients in the suit, told the CBC.