Mexican Court Ruling Upholds ING’s $94 Million Fertinal Settlement

Seguros ING S.A. de C.V., the Mexican insurance subsidiary of The Netherlands’ ING Group has received official notification from a federal appellate court in Mexico City that its claims dispute with the Mexican company Grupo Fertinal S.A. and certain affiliates has been settled.

According to the ruling, Grupo Fertinal has been awarded approximately $94 million plus interest under its insurance policy.

The dispute arose over the amount to be paid for damages to Fertinal’s mines in the Mexican State of Baja California Sur caused by Hurricane Juliette in 2001.

At one point Mexican courts had tied up $300 million – the policy limits – of ING’s funds and ordered the arrest of 10 Seguros Comercial employees, who were charged with withholding the funds (See IJ web site Sept. 20, 2003).

This ruling validates ING’s success in having the claims reduced to $94 million (See IJ web site Dec. 2, 2005).

Source: ING Group

Topics Legislation