(1888PressRelease)
November 29, 2006 - (Dallas, TX – November 28, 2006) On October 10th, 2006, The Hartford voluntarily entered into a contract and security agreement with Lonnie Glenn Schmidt as settlement of damages suffered by Schmidt when agents of The Hartford refused to act lawfully in their course of business and put a stop to the fraudulent use of a bond issued by their company. This agreement has led to liens and possible freezing of financial accounts and foreclosure of real estate assets in the amount of $1 Billion.
Mr. Schmidt, a decorated Vietnam Veteran, with a distinguished service record, was incarcerated 16 months for alleged civil contempt and failure to pay a disputed debt that The Hartford’s bond holder claims it was due. This incarceration for failure to pay resulted in Schmidt’s loss of assets of both him and his family, which then emanated in his bankruptcy.
David M. Johnson, Chief Financial Officer of The Hartford, was individually responsible for the acceptance of the contract and Security Agreement on behalf of the company which led to this settlement.
“Why would a large, reputable company, like The Hartford, accept liability for the criminal acts of a bond holder, continue to allow the bond to remain in force, and agree to a $1 billion settlement, rather than simply cancel the bond for fraud?” asks Lonnie Schmidt, holder of the Security Agreement. “I just wanted an answer to my complaint and prudent action in order to prevent additional damages to myself, others, and further liability to The Hartford.”
To prevent immediate strict foreclosure and seizure of The Hartford’s assets , as provided for by the terms of the Security Agreement, The Hartford must pay this amount immediately. The contract calls for triple damages, should enforcement be challenged in the courts.
Press Contact:
Judith Heavens
Phone: 916-308-7231
Email: heavensabove ( @ ) comcast dot net
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