Gallagher Forgives $2.3 Million Loan to Ex-CFO

Itasca, Ill.-based brokerage Arthur J. Gallagher & Co. has forgiven the unpaid balance on a $2.3-million loan to Michael J. Cloherty, who stepped down as chief financial officer in 2003.

After stepping down, Cloherty was named a special adviser to Gallagher’s CEO under a 10-year employment contract that allows him to devote more work to running his family business.

Principal and interest adding up to $918,211 for the 2001 loan remained unpaid when Gallagher forgave it, according to a proxy statement filed with the Securities and Exchange Commission.