PSU insurance company lawsuits

[PSUEngineerx2]

http://www.newsworks.org/index.php/...edium=twitterauto&utm_campaign=social-inbound

Third paragraph is a doozy.

This paragraph too;

"It's unclear how much Penn State has paid to defend itself in court over Sandusky charges, but school officials say that, without long-term insurance-supported legal help, the university is in an "untenable" position."

 

[Marshall30]

PMA has a strong case.

 

[StinkStankStunk]

PMA has a strong case.

The have a lead-pipe case....unless the Scoundrels can broker some back room deal to get some marginal chip-in - and then claim victory!!

 

[StinkStankStunk]

http://www.newsworks.org/index.php/...edium=twitterauto&utm_campaign=social-inbound

Third paragraph is a doozy.

This paragraph too;

"It's unclear how much Penn State has paid to defend itself in court over Sandusky charges, but school officials say that, without long-term insurance-supported legal help, the university is in an "untenable" position."

The legal battle in Philadelphia Court of Common Pleas over who should pay has a trial date scheduled for March. In the meantime, university officials say the millions already distributed came from an emergency fund generated from interest on loans the school issued to itself.

"These costs are not funded by student tuition, taxpayer funds, or donations," said Penn State spokesman L. Reidar Jensen, noting that the university bears the risk of paying for the settlements out of its emergency fund.

How f&cking stupid do they think us "unwashed masses" are?

Why don't they just claim the funds came from that Magical Cash-Crapping Unicorn they have sequestered away in the bowels of Old Main.

Laugh or cry?

 

[WeR0206]

"These costs are not funded by student tuition, taxpayer funds, or donations," said Penn State spokesman L. Reidar Jensen, noting that the university bears the risk of paying for the settlements out of its emergency fund.

Jensen said he's optimistic that a jury will award Penn State all of what it spent from its reserves after a trial.

The whole tussle began when the school's insurance provider, Pennsylvania Manufacturers Association Insurance Company, refused to continuously represent Penn State when the first civil lawsuit was filed in November 2011 by one of Sandusky's victims.

Penn State called that a breach of contract. The insurance company pointed to a "abuse and molestation" policy exclusion, saying that absolved it of responsibility."
================================================================

Uh ohhh...looks like Kenny boy forgot to read up on the policy exclusions.

Ain't it funny how initially PSU was telling everyone, as if it was a certainty, that PSU's insurance was going to cover these settlements? Now PSU's only "optimistic" a jury will side with them after a freaking trial (which could very easily side with PMA). That's a heck of a change up there!

I also like how the good ol' rainy day fund gets mentioned, that just so happened to have upwards of 100 MILLION dollars in it. Riiight. And just where exactly does the money for the rainy day fund come from?

 

[Fayette_LION]

http://www.newsworks.org/index.php/...edium=twitterauto&utm_campaign=social-inbound

Third paragraph is a doozy.

This paragraph too;

"It's unclear how much Penn State has paid to defend itself in court over Sandusky charges, but school officials say that, without long-term insurance-supported legal help, the university is in an "untenable" position."

Someone please explain.........How can you have so much money sitting around that you give yourself a loan and invest it then make payouts from the interest? Why do you have to give yourself a loan? Why not have this money invested to begin with and collect the interest? Something very fishy here. Creative accounting? IRS?

 

[PSUEngineerx2]

 

[Fox Chapel Lion II]

PMA has a strong case.

Damn right they do. So, let's see. Kenny and Karen turn on the money tap, and expect PMA to pony up.

Sounds like a plan to me.

 

[WeR0206]

Someone please explain.........How can you have so much money sitting around that you give yourself a loan and invest it then make payouts from the interest? Why do you have to give yourself a loan? Why not have this money invested to begin with and collect the interest? Something very fishy here. Creative accounting? IRS?

I was wondering the same thing. Did PSU just discover a way to magically make money appear? How does every company/school not do this?? Loan money to yourself then use the interest that you yourself are paying to pay the settlements...whaaa??

 

[lionlurker]

But wait! That new poster last week said that we were already dealing with reinsurance companies. And he was lauded as being a new expert!

 

[psu00]

"These costs are not funded by student tuition, taxpayer funds, or donations," said Penn State spokesman L. Reidar Jensen, noting that the university bears the risk of paying for the settlements out of its emergency fund.

Jensen said he's optimistic that a jury will award Penn State all of what it spent from its reserves after a trial.

The whole tussle began when the school's insurance provider, Pennsylvania Manufacturers Association Insurance Company, refused to continuously represent Penn State when the first civil lawsuit was filed in November 2011 by one of Sandusky's victims.

Penn State called that a breach of contract. The insurance company pointed to a "abuse and molestation" policy exclusion, saying that absolved it of responsibility."
================================================================

Uh ohhh...looks like Kenny boy forgot to read up on the policy exclusions.

Ain't it funny how initially PSU was telling everyone, as if it was a certainty, that PSU's insurance was going to cover these settlements? Now PSU's only "optimistic" a jury will side with them after a freaking trial (which could very easily side with PMA). That's a heck of a change up there!

I also like how the good ol' rainy day fund gets mentioned, that just so happened to have upwards of 100 MILLION dollars in it. Riiight. And just where exactly does the money for the rainy day fund come from?

Exactly. Where does the money come from? After the shell game of lending money to itself then charging interest on itself you'll find that whatever division of the university was paying back Old Main was doing it with money from tuition, state funds, and donations. Unless they print money in Old Main there's nowhere else it could come from.

The second question that brings up is how does Penn State have an 'emergency fund' of $100- $150 million (at least) when its forever crying and begging in Harrisburg (often in a very entitled manner) that the state doesn't give it enough money. I'm guessing there will be some pretty pointed questions the next time Barron shows his face in Harrisburg before a House committee on funding.

 

[The Spin Meister]

The whole tussle began when the school's insurance provider, Pennsylvania Manufacturers Association Insurance Company, refused to continuously represent Penn State when the first civil lawsuit was filed in November 2011 by one of Sandusky's victims.

---
Another fascinating turn of events. Its was the PMA that rigged trustee elections in the 90s so that they could control the BoT. Then when they had control, their hand-picked trustees voted to have the PMA be their insurer. Then, to be sure they kept control, they changed the election criteria of the B & I trustees so that out going trustees could hand pick their successors like they did with Dambly.

During the pre-election social hour, I mingled and sought the support of the delegates. I discovered that most were affiliated with the Pennsylvania Manufacturers’ Association. I also discovered, to my surprise, that many delegates were residents of the Centre County region and not the counties listed on their credentials.


PMA is a Harrisburg-based business lobby and in my opinion not a professional society or association as defined by the Penn State charter. While I was successful in swaying some of the voters, the PMA delegates elected the two candidates they appeared to be recruited to support.

Robert Horst

I reported my discovery to the trustee office in Old Main and later received a telephone call from then trustee chairman Ted Junker. In hindsight, it appears that PMA was heavily involved in the elections for decades. Indeed, then PMA’s Fred Anton was referred to by some as the “33rd trustee.” The modus operandi of the university board was not one of openness, but one of silence and under-the-radar actions.


In 2002, then board chairman Edward Hintz, Jr. (an industrial trustee) appointed a committee to study and recommend changes to the process for electing industrial trustees. The outcome of the study was a name change to “business and industry” trustees, and the election was eliminated.Not surprisingly, some are the largest financial contributors reported by the university. These trustees birthed and facilitated the Spanier regime.


Now, after all that manipulation/corruption, the PMA is refusing to cover the damages. I understand they may not be liable under their contract. All the more indicative of how the PMA outsmarted the geniouses in charge of good ole PSU.

 

[Tom McAndrew]

Another fascinating turn of events. Its was the PMA that rigged trustee elections in the 90s so that they could control the BoT. Then when they had control, their hand-picked trustees voted to have the PMA be their insurer. Then, to be sure they kept control, they changed the election criteria of the B & I trustees so that out going trustees could hand pick their successors like they did with Dambly.

The biggest problem with what you posted is that Dambly was a governor-appointed trustee, not a B&I trustee.

 

[91Joe95]

But wait! That new poster last week said that we were already dealing with reinsurance companies. And he was lauded as being a new expert!

I have no reason to believe he wasn't an expert. What was apparent though was his naivete when it came to his belief that his friends and bot were honest.

 

[Marshall30]

PMA does not have to pay for real or imagined acts of an ex-employee.

 

[mn78psu83]

Exactly. Where does the money come from? After the shell game of lending money to itself then charging interest on itself you'll find that whatever division of the university was paying back Old Main was doing it with money from tuition, state funds, and donations. Unless they print money in Old Main there's nowhere else it could come from.

The second question that brings up is how does Penn State have an 'emergency fund' of $100- $150 million (at least) when its forever crying and begging in Harrisburg (often in a very entitled manner) that the state doesn't give it enough money. I'm guessing there will be some pretty pointed questions the next time Barron shows his face in Harrisburg before a House committee on funding.

Honestly. I am in no way an expert in these types of shell games. Nevertheless, as Tony Lubrano pointed out recently, cash and cash equivalents are fungible.

 

[The Spin Meister]

The biggest problem with what you posted is that Dambly was a governor-appointed trustee, not a B&I trustee.

---
I thought he was the hand-picked successor to Surma. Who am I confusing him with?

 

[StinkStankStunk]

QUOTE="The Spin Meister, post: 930197, member: 9492"]---
I thought he was the hand-picked successor to Surma. Who am I confusing him with?[/QUOTE]
Dicky Dandrea....more or less

Dicky took Surma's "B&I" (aka - Scumbag Scoundrel) seat when Surma declined to stay on.

Dicky was hand-picked by former PSU BOT Chair Jimmy Broadhurst - the Smiley-Face guy. Jimmy Broadhurst and his Wife are BBFs with Dicky's In-Laws......IIRC. So that is who Dicky lap-dogs for (among others)
Jimmy Broadhurst and BeetleJuice Frazier were the folks who put Dicky on the BOT.

Dicky was "elected" (can't believe they even have the gall to use that term) the same year Pearlie Peetz was re-upped for another term (2013).



Dambly was placed on the BOT by Dominic Pileggi....a scumbag PA Senator from down around Delaware County.

Dom Pileggi had Dambly placed on the BOT as a "Governor Appointee".

Dom is a piece of work in his own right....the Chief Corruption officer for Delaware County and Chester City. Dom - you couldn't make this shit up if you tried - was the co-defendant with Dambly in a Federal Anti-Trust suit.
Dom - who was then the "Don" of Chester.......took all of the City's Federal "Redevelopmen"t money, and gave it all to Dambly - so that Dambly could use it to "renovate" low income housing in that depressed area.

Dambly did just that - at a cost more than DOUBLE the cost per unit of any other redevelopment projects in the area.....obviously, pocketing the other 1/2 (or more) through phony invoices.....which he and Dom and their other co-horts could then divvy up.

As I said.....you couldn't make this shit up if you tried.

Dom Pileggi, who has been involved in other corruption via his role in the PA Senate, is likely heading out of that esteemed body.....he already was tossed from his leadership position - and supplanted by the bastion of integrity from Centre County - Jake Corman (I told you .....you COULD NOT MAKE THIS SHIT UP IF YOU TRIED)

Of course, the "boys" already have a nice cushy landing spot identified for Pileggi.....he will - unless all hell breaks loose - soon be appointed to.....hold onto your hat....

A Commonwealth Judge Position.

I ...SHIT...YOU...NOT

And people wonder why no one in "authority" speaks up?

 

[towny87.1]

PMA has a strong case.

The strongest part of the many of the lawsuits against PSU is that Jerry's activities goes back to the 70's - There have been several people deposed and on the record as such including several previous assistant coaches.

PMA is saying that PSU has lied on their insurance applications regarding any known liabilities - PSU not disclosing that they knew about Jerry before 98 and especially including 98 then having another reported incident in 2001 and not disclosing any of this info to PMA should void any obligation PMA has to cover PSU

The more time that goes by and the more info is uncovered is all the more the BOT have dug themselves a very expensive hole to get out of. At the same time what is another 100 million here or there. It is pocket change to an organization worth well over 10 Billion dollars and is no where near what the full truth would actually cost the university.

 

[WeR0206]

Jerry's activities goes back to the 70's - There have been several people deposed and on the record as such including several previous assistant coaches.

Oh yeah? By "Jerry's activities" are you talking about inappropriate showers/horseplay, etc. or certain child abuse/molestation? And what have these assistant coaches gone on record about exactly? Did they see/hear about JS's inappropriate showering or did they see/hear about JS possibly molesting/abusing a kid? Pretty big difference there and one that could be clouded by hindsight bias since we now know JS was convicted of child abuse and used showering to groom the kids.

But nonetheless PSU should have been making their insurance aware of any/all incidents and if they didn't that's a huge issue.

 

[Art]

The strongest part of the many of the lawsuits against PSU is that Jerry's activities goes back to the 70's - There have been several people deposed and on the record as such including several previous assistant coaches.

PMA is saying that PSU has lied on their insurance applications regarding any known liabilities - PSU not disclosing that they knew about Jerry before 98 and especially including 98 then having another reported incident in 2001 and not disclosing any of this info to PMA should void any obligation PMA has to cover PSU

The more time that goes by and the more info is uncovered is all the more the BOT have dug themselves a very expensive hole to get out of. At the same time what is another 100 million here or there. It is pocket change to an organization worth well over 10 Billion dollars and is no where near what the full truth would actually cost the university.

Net assets of Penn State are more in the vicinity of $7bn and the amount readily available to pay claims is considerably less (unless the University decides to sell off a building or two). $100mm is not pocket change .

 

[lionlurker]

I'm sure the university is culpable in ways that we can only imagine, but Towny, it doesn't excuse MM's behavior on that fateful night.

It doesn't. Especially since according to you, it shouldn't have been that much of a surprise.

 

[StinkStankStunk]

The strongest part of the many of the lawsuits against PSU is that Jerry's activities goes back to the 70's - There have been several people deposed and on the record as such including several previous assistant coaches.

PMA is saying that PSU has lied on their insurance applications regarding any known liabilities - PSU not disclosing that they knew about Jerry before 98 and especially including 98 then having another reported incident in 2001 and not disclosing any of this info to PMA should void any obligation PMA has to cover PSU

The more time that goes by and the more info is uncovered is all the more the BOT have dug themselves a very expensive hole to get out of. At the same time what is another 100 million here or there. It is pocket change to an organization worth well over 10 Billion dollars and is no where near what the full truth would actually cost the university.

FWIW, PSU's total assets (including all the Hershey Medical stuff, IIRC) is about $12 Bill

But the Net Assets are at about $8 Billion, and a good part of that is tied up in the value of capital goods (Buildings etc)

PSU's cash and "near cash" assets were down another $200 Million in the most recent year, and are now down to about $1.2 Billion...from $1.4 Billion a year ago (IIRC)

 

[Tom McAndrew]

Dom Pileggi, who has been involved in other corruption via his role in the PA Senate, is likely heading out of that esteemed body.....he already was tossed from his leadership position - and supplanted by the bastion of integrity from Centre County - Jake Corman (I told you .....you COULD NOT MAKE THIS SHIT UP IF YOU TRIED)
Of course, the "boys" already have a nice cushy landing spot identified for Pileggi.....he will - unless all hell breaks loose - soon be appointed to.....hold onto your hat....a Commonwealth Judge position.

I ...SHIT...YOU...NOT

I won't comment on the other aspects of your post. On the part that's bolded, you have the facts incorrect.

Pileggi has been headed out of the PA Senate pretty much from the time he lost the Majority Leader position to Corman. He ran in the primary in May for a position as judge for the Court of Common Pleas, in Delaware County. He was victorious in the primary election, and then won again in the general election in November. As such, he's a judge-elect for the Delaware County Court of Common Pleas, and is scheduled to be sworn in as a judge this coming January.

 

[Marshall30]

The main problem is that Penn State bore no culpability for these claims, but the BoT pissed money away regardless. For an ex employee. To cover their own sorry asses,

 

[StinkStankStunk]

Oh yeah? By "Jerry's activities" are you talking about inappropriate showers/horseplay, etc. or certain child abuse/molestation? And what have these assistant coaches gone on record about exactly? Did they see/hear about JS's inappropriate showering or did they see/hear about JS possibly molesting/abusing a kid? Pretty big difference there and one that could be clouded by hindsight bias since we now know JS was convicted of child abuse and used showering to groom the kids.

But nonetheless PSU should have been making their insurance aware of any/all incidents and if they didn't that's a huge issue.

Something that is just amazing, is how often we hear - apparently in one way or another via the prosecution folks - about "all of these folks who witnessed Jerry doing bad shit"....

And yet, not ONE of them was called at the criminal trial of Jerry Sandusky - to provide neutral third party eyewitness accounts of Jerry's nefarious activities.
Not one.
None.

Why wouldn't the prosecution - the obvious source of these tidbits - want to sit these eyewitnesses....these neutral eyewitness....on the stand to verify Sandusky's immoral behavior? At the same time buttressing the testimony of their ONE eyewitness (MM)?
Why would they leave MM out there blowing in the wind when they had ALL OF THESE FOLKS who had supportive testimony? Why?????

If you were MM...wouldn't you be FURIOUS that these prosecutors who owed you so much - for being their go-to guy...left you out there to be eviscerated rather than call all of these confirming witnesses? Wouldn't you???
I sure as f^ck would be! I'd be kicking those bastards in the balls.

Are McGettigan and Fina and that whole gang that incompetent?
Did this team of investigators just "forget" to take statements from all of these folks?

Honest to God....riddle me that?

WTF were they doing? Was there some reason they wanted to weaken their own case?


I don't know. I sure as hell can't figure it out.....well, that's a bit misleading - 'cause I sure as shit have a couple of possible scenarios in mind.

 

[lein]

PMA does not have to pay for real or imagined acts of an ex-employee.

Wouldn't PMA be the entity, not PSU, who negotiates the settlements with the victims? I mean if I'm in a car accident, I can't go and write checks to anyone else involved with the expectation that State Farm will reimburse me.

 

[lionlurker]

I was wondering about that myself.

 

[StinkStankStunk]

I won't comment on the other aspects of your post. On the part that's bolded, you have the facts incorrect.

Pileggi has been headed out of the PA Senate pretty much from the time he lost the Majority Leader position to Corman. He ran in the primary in May for a position as judge for the Court of Common Pleas, in Delaware County. He was victorious in the primary election, and then won again in the general election in November. As such, he's a judge-elect for the Delaware County Court of Common Pleas, and is scheduled to be sworn in as a judge this coming January.

Sorry...what am I not following here......

You say the "facts are incorrect", and follow that up by basically confirming the same stuff.

Am I misreading something here (wouldn't be the first time)?


Re-reading....maybe what you are referring to is that I said he would be "appointed" to that Judge's spot....whereas your contention would be that that Bench was filled via an election.



I know they hold an election.....but I suppose the difference here is the thought that the person sitting on that Bench was DETERMINED by the election - as opposed to being determined by "other avenues".

 

[epradelli]

The have a lead-pipe case....unless the Scoundrels can broker some back room deal to get some marginal chip-in - and then claim victory!!

Okay Marshall I left the other thread because of attacks on me and I am on Joes side on this and most of yours.
I have a few near fist fights to
Prove it!
Now some of you are getting it !
As a disclaimer I do
Not know PSU insurance structure except they appear to have had a General liability policy with PMA and yes this generally excludes sexual issues?
They also have a Captive which
Is a insurance company owned by its parent( PSU) this is to technical
To get into in this forum . However the captive normally has reinsurance just like most traditional insurance companies . The parent does not want unlimited risk. Again as a disclaimer I do
Not know PSU reinsurance structure or what it covers? I do know a Captive builds "reserves" based on premium in and losses?
The PMA issue is real interesting !?
Enough said.


I

 

[towny87.1]

I'm sure the university is culpable in ways that we can only imagine, but Towny, it doesn't excuse MM's behavior on that fateful night.

It doesn't. Especially since according to you, it shouldn't have been that much of a surprise.

Well for the record show me where I have ever excused what has transpired by anyone. Even MM is on record and testified at the prelim hearing that he wished he handled it better or differently. That is a far cry much different then any of the admins and BOT has stated

You may not like the way MM handled that incident but he did more than several of the others who witnessed Jerry over the many years including other assistant coaches and no one at PSU had a problem with how MM handled the incident including Joe.

The day that you can finally see that the admins knew exactly what the 2001 incident was and that they lied to investigators and to the GJ I won't accept your apology and I won't be shy about telling you to kiss my ass.

Although it has taken much longer to get there then anyone has hoped, every day is another day closer to that. It took 20 plus years to put Jerry where he belonged so I will wait for the final results patiently. The past four years have been very enlightening to say the least

have a good night

 

[StinkStankStunk]

Okay Marshall I left the other thread because of attacks on me and I am on Joes side on this and most of yours.
I have a few near fist fights to
Prove it!
Now some of you are getting it !
As a disclaimer I do
Not know PSU insurance structure except they appear to have had a General liability policy with PMA and yes this generally excludes sexual issues?
They also have a Captive which
Is a insurance company owned by its parent( PSU) this is to technical
To get into in this forum . However the captive normally has reinsurance just like most traditional insurance companies . The parent does not want unlimited risk. Again as a disclaimer I do
Not know PSU reinsurance structure or what it covers? I do know a Captive builds "reserves" based on premium in and losses?
The PMA issue is real interesting !?
Enough said.


I

You, me, and probably quite a few other folks on is board know a fair amount about insurance company structures, captive agencies, etc........but all of that stuff - aside from being able to talk about it and make ourselves think we know something that most others don't - doesn't mean squadoosh with regard to the PMA's culpability to reimburse PSU.

That stuff - PMA's liability issue with Penn State - doesn't require in rocket surgery.

 

[lionlurker]

Well for the record show me where I have ever excused what has transpired by anyone. Even MM is on record and testified at the prelim hearing that he wished he handled it better or differently. That is a far cry much different then any of the admins and BOT has stated

You may not like the way MM handled that incident but he did more than several of the others who witnessed Jerry over the many years including other assistant coaches and no one at PSU had a problem with how MM handled the incident including Joe.

The day that you can finally see that the admins knew exactly what the 2001 incident was and that they lied to investigators and to the GJ I won't accept your apology and I won't be shy about telling you to kiss my ass.

Although it has taken much longer to get there then anyone has hoped, every day is another day closer to that. It took 20 plus years to put Jerry where he belonged so I will wait for the final results patiently. The past four years have been very enlightening to say the least

have a good night

He actually didn't do a damned thing, except likely recreate the event in different ways to different people which ultimately led to this whole sorry episode. If Joe approved of it, it's because he died before he could appreciate the entire story about what happened.

You can claim that other assistant coaches witnessed stuff, but without proof I will just consider that to be a reactionary remark by an overly sensitive family member. Let me know when we are shown that other assistant coaches saw just what MM claimed to have seen (at least to some people), and yet did nothing, which is precisely the same thing that MM did.

Even if PSU administrators lied and act without honor and integrity (which would surprise no one, depending on who they were), that still does not change the fact that MM eventually told/intimated to people that he witnessed anal rape and just ran out of the locker room. If that is not true, he's had ample opportunity to set the record straight and he never has.

 

[StinkStankStunk]

Well for the record show me where I have ever excused what has transpired by anyone. Even MM is on record and testified at the prelim hearing that he wished he handled it better or differently. That is a far cry much different then any of the admins and BOT has stated

You may not like the way MM handled that incident but he did more than several of the others who witnessed Jerry over the many years including other assistant coaches and no one at PSU had a problem with how MM handled the incident including Joe.

The day that you can finally see that the admins knew exactly what the 2001 incident was and that they lied to investigators and to the GJ I won't accept your apology and I won't be shy about telling you to kiss my ass.

Although it has taken much longer to get there then anyone has hoped, every day is another day closer to that. It took 20 plus years to put Jerry where he belonged so I will wait for the final results patiently. The past four years have been very enlightening to say the least

have a good night

Towny - I won't ask you to address this on this board...and please don't (I don't think that would be a good idea for anyone)......but just something to think about - and I would be interested in talking about it with you sometime down the road.


Why were none of these other folks that the prosecution apparently has lined up....why were NONE of them called at the Sandusky trial?

If an "eyewitness" testimony was a crucial as they claimed it was (wrt having MM testify)...why wouldn't they have lined up 3, 4, 5 or however many folks who could give similar testimony to support MM's?

That particular issue has always seemed "unexplainable" to me at face value. Sometime....let me know what you think I am not figuring in.

 

[91Joe95]

The strongest part of the many of the lawsuits against PSU is that Jerry's activities goes back to the 70's - There have been several people deposed and on the record as such including several previous assistant coaches.

PMA is saying that PSU has lied on their insurance applications regarding any known liabilities - PSU not disclosing that they knew about Jerry before 98 and especially including 98 then having another reported incident in 2001 and not disclosing any of this info to PMA should void any obligation PMA has to cover PSU

The more time that goes by and the more info is uncovered is all the more the BOT have dug themselves a very expensive hole to get out of. At the same time what is another 100 million here or there. It is pocket change to an organization worth well over 10 Billion dollars and is no where near what the full truth would actually cost the university.

Is this more grand jury leaks?

 

[Marshall30]

Wouldn't PMA be the entity, not PSU, who negotiates the settlements with the victims? I mean if I'm in a car accident, I can't go and write checks to anyone else involved with the expectation that State Farm will reimburse me.

Correct. But the BoT couldn't allow that to happen, knowing the outcome, and that their activities would be exposed.

 

[epradelli]

You, me, and probably quite a few other folks on is board know a fair amount about insurance company structures, captive agencies, etc........but all of that stuff - aside from being able to talk about it and make ourselves think we know something that most others don't - doesn't mean squadoosh with regard to the PMA's culpability to reimburse PSU.

That stuff - PMA's liability issue with Penn State - doesn't require in rocket surgery.

Okay 70 some years with PMA and other significant relationships . As you know they do much more than provide insurance ? Lobbying , politics. Etc.
Ouch ?

 

[epradelli]

---
Another fascinating turn of events. Its was the PMA that rigged trustee elections in the 90s so that they could control the BoT. Then when they had control, their hand-picked trustees voted to have the PMA be their insurer. Then, to be sure they kept control, they changed the election criteria of the B & I trustees so that out going trustees could hand pick their successors like they did with Dambly.

During the pre-election social hour, I mingled and sought the support of the delegates. I discovered that most were affiliated with the Pennsylvania Manufacturers’ Association. I also discovered, to my surprise, that many delegates were residents of the Centre County region and not the counties listed on their credentials.


PMA is a Harrisburg-based business lobby and in my opinion not a professional society or association as defined by the Penn State charter. While I was successful in swaying some of the voters, the PMA delegates elected the two candidates they appeared to be recruited to support.

Robert Horst

I reported my discovery to the trustee office in Old Main and later received a telephone call from then trustee chairman Ted Junker. In hindsight, it appears that PMA was heavily involved in the elections for decades. Indeed, then PMA’s Fred Anton was referred to by some as the “33rd trustee.” The modus operandi of the university board was not one of openness, but one of silence and under-the-radar actions.


In 2002, then board chairman Edward Hintz, Jr. (an industrial trustee) appointed a committee to study and recommend changes to the process for electing industrial trustees. The outcome of the study was a name change to “business and industry” trustees, and the election was eliminated.Not surprisingly, some are the largest financial contributors reported by the university. These trustees birthed and facilitated the Spanier regime.


Now, after all that manipulation/corruption, the PMA is refusing to cover the damages. I understand they may not be liable under their contract. All the more indicative of how the PMA outsmarted the geniouses in charge of good ole PSU.

Oh my Marshall !

 

[StinkStankStunk]

Okay 70 some years with PMA and other significant relationships . As you know they do much more than provide insurance ? Lobbying , politics. Etc.
Ouch ?

Uh......yeah

Will you ever post anything of substance? Is there some point you want to make?

 

[Cletus11]

The money is coming from the endowment fund. It is What the BOT always thought would occur. There is a billion dollars in that account. The BOT basically said that if they have to spend a few hundred of that, than so be it. PMA is never going to pay and no jury is ever going to make them and PMA knows it.