Court: No $94M stock windfall for Connecticut state workers

HARTFORD >> Connecticut state workers and retirees will not get part of a $94 million stock windfall received by the state in 2001 and then used to help fill a budget gap.

The state Supreme Court on Friday rejected the workers’ appeal that they, not the state, should have received the Anthem Insurance stock that was issued when the company switched from a mutual to a shareholder-owned company.

The court ruled in 2010 that Connecticut had immunity from the workers’ lawsuit, but it allowed the case against Anthem to go forward.

Anthem argued that a provision of its 1997 merger with the Connecticut company that insured state employees was that policies held before the merger kept their original terms. Before 1997, policies in Connecticut considered the group to be the official member, not the individuals.

Read more: http://www.nhregister.com/general-news/20170331/court-no-94m-stock-windfall-for-connecticut-state-workers