Equitable must re-examine evidence

Equitable Life’s solicitors Herbert Smith have been forced to re-examine documents to establish if they are relevant to its case against former directors and auditors.

Link: Equitable: read the key documents

Ernst & Young, the insurer’s former auditors headed by Nick Land, argued in the High Court that Herbert Smith was refusing to release documents that it should legally have disclosed.

After discussions between the legal parties and comments made in court earlier this week, the judge decided to give Herbert Smith two weeks to look through and reassess the relevance of the documents to the case.

E&Y has argued that the alleged negligence cannot be proved, as there was not one set way of auditing life insurance companies as far as the relevant issues to the case are concerned.

Evidence from Equitable, it is arguing, confirms that the society continued to use assumptions in 2001-02 that it now claims were outdated, negligent and wrong from 1997 to 1999. The documents, which run to 76 boxes, relate to the period 2001-02.