Chase part of employee insurance scheme?
A recent lawsuit has accused Chase, among others, of scheming to take out life insurance policies on employees and former employees without their consent or knowledge. While this sounds unethical, apparently it is also illegal and the people so insured or their heirs can sue the banks for the life insurance proceeds and for misappropriation of their identity.
Many of the world’s largest banks have purchased “bank-owned life insurance” or “BOLI” for years, including Bank of America, JP Morgan Chase, Bear Stearns, Citigroup, Wachovia, Washington Mutual, Wells Fargo and many others.
“We are investigating banks that insure the lives of employees without their knowledge or consent,” says class-action attorney Scott Clearman of The Clearman Law Firm. “These types of policies benefit only the banks, not their employees.”
Bad bad Chase, Lawsuits | admin December 10, 2010
