Here is an article from Anthony Lin of the NYLJ which tells of Chicago Ins. Co’s successful move to drop a legal malpractice insurance policy for an attorney who was recently sentenced to jail for fraud.

"A federal judge in Manhattan has permitted a professional liability insurer to rescind coverage for a lawyer recently sentenced to four years in prison for participating in an elaborate corporate fraud scheme.

John Fasciana was convicted in July 2005 on federal charges relating to the diversion to his law firm’s account of hundreds of thousands of dollars sent as payment to Electronic Data Services Corp. (EDS) between 1995 and 1998"

"Southern District Judge Loretta A. Preska ruled last week on a summary judgment motion that the insurer was entitled to rescind the policy and could seek reimbursement of all legal fees it paid on behalf of Mr. Fasciana. She also said Chicago Insurance was entitled to a declaration that it was no longer required to defend Mr. Fasciana in the Texas action. "