Insurer Liberty International Canada is filing suit against beleaguered Canadian animation company Cinar. The suit, to the tune of $900,000, was filed in Quebec Superior Court. Cinar has come under fire recently, facing allegations of tax fraud and heavy financial losses. The company had seen a recent turnaround, posting profits of $1.7 million in the second quarter of this year. Liberty International Canada, a subsidiary of Liberty Mutual Insurance Company, claims Cinar’s liability policies should be declared void, charging misrepresentation and concealment on the part of the animation company. Liberty is seeking reimbursement for defense costs paid on Cinar’s behalf. The suit also names current and former directors and officers of the company, and covers a period dating back to April of 1996. In a press release, Cinar’s response is that it has “advised Liberty that it disagrees with Liberty’s position and will contest this action insofar as its interests are concerned”.