Vermont Ski Resort Owner Suing Insurer to Fund Defense in Fraud Case

A Vermont ski resort owner is suing his insurer in federal court for more than $2 million to fund his legal defense against fraud accusations brought by the Securities and Exchange Commission.

Jay Peak owner Ariel Quiros and former president Bill Stenger were accused by Vermont and the SEC of misusing $200 million raised from foreign investors for developments through a special visa program. Quiros is also accused of improperly diverting $50 million for personal use.

Stenger settled his case with the SEC.

The Caledonian Record reports Quiros filed a lawsuit last week in Miami against Ironshore Indemnity.

The suit says Ironshore is contractually obligated to advance his defense costs and that it breached its contract by failing to do so.

Ironshore couldn’t immediately be reached for comment.

Information from: The Caledonian-Record