Aon’s White Rock Insurance is using a Hong Kong bribery case to press China Construction Bank in its New York lawsuit over Vesttoo-linked reinsurance collateral. The criminal case involves the same former bank employee accused of helping validate fraudulent reinsurance collateral, creating a new complication for the Chinese lender’s attempt to dismiss the case.
That overlap is now central to White Rock’s argument. The Aon unit says the bank may have documents, emails, and other records relevant to the lawsuit, including materials tied to the disputed letters of credit. White Rock sued China Construction Bank in August 2024, alleging that a bank employee helped present fraudulent letters of credit tied to Vesttoo reinsurance deals as legitimate.
White Rock is seeking at least $140 million in damages for losses allegedly suffered by the company and its clients. China Construction Bank has denied the allegations and has asked the court to dismiss the case.
The latest dispute focuses on Chun-Yin Lam, a former China Construction Bank manager whom White Rock previously described as an alleged “inside man” in the Vesttoo fraud. Lam is now accused in a Hong Kong bribery case of accepting about $470,000 in cryptocurrency from a Vesttoo employee to authenticate false letters of credit and collateral documents.
White Rock said the criminal case strengthens its request for jurisdictional discovery in New York. The company argued that China Construction Bank may have Lam’s emails, communications with Vesttoo employees, internal documents, meeting records, and other materials tied to the disputed letters of credit.
The filing also said the bank reportedly cooperated with Hong Kong’s Independent Commission Against Corruption, which brought the bribery case. White Rock argued that this could mean China Construction Bank provided prosecutors with information that may also be relevant to the civil lawsuit.
“Such documents and communications would evidence that, in taking the actions giving rise to White Rock’s claims, Lam acted on behalf of CCBA with actual or apparent authority and his actions are thus attributed to CCBA for personal jurisdiction purposes,” the filing stated.
White Rock said it does not have access to additional facts that may have come out of the Hong Kong investigation, including records related to the decision to charge Lam and details of his dealings with Vesttoo employees.
“Accordingly, there is reason to believe that CCBA and the other Defendants are in possession of facts from Lam’s criminal proceeding and investigation, including the decision to charge Lam as CCBA’s agent, documents and communications that CCBA provided to prosecutors in advance of that decision, and facts regarding Lam’s dealings that were revealed as part of the criminal investigation. These and similar facts are relevant to the Court’s personal jurisdiction over CCBA, including based on Lam’s acts as CCBA’s agent,” the filing stated.
White Rock’s lawsuit is one of several cases linked to Vesttoo’s collapse. The Vesttoo Creditors Liquidating Trust and other insurance and fronting companies have sued China Construction Bank, alleging that bank employees helped issue or support fraudulent letters of credit used in reinsurance deals.
Porch Group’s Homeowners of America Insurance Company, Incline P&C Group, and Clear Blue Insurance have also sued China Construction Bank over allegedly fraudulent letters of credit tied to Vesttoo transactions.
