Wednesday, January 29, 2014

Appeals court overturns Judge Williams' decision in Providence Insurance case

by Matt Hughes
J-E News Editor
In late December it seemed that the city of Providence was sure to win a Kentucky Court of Appeals case against Ohio Casualty  Insurance Company in the amount of $600,000. At last Tuesday’s city council meeting Mayor Eddie Gooch reported that much to everyone’s surprise, the court had over turned Circuit Judge Rene Williams decision.
Providence will now move the case to the Kentucky Supreme Court, hoping to have the decision turned back in their direction.
In October of 1997 the Ohio Casualty  Insurance Company (OCC) issued a surety bond to the City of Providence, in which it agreed to indemnify Providence up to the sum of $300,000 for losses caused by various acts and omissions attributable to then city clerk Sara Stevens.
When Stevens was later convicted of embezzlement over a three year period, OCC only made one payment to the city in the amount of $300,000. Circuit Judge Rene Williams ruled that the insurance company owed the city $300,000 for each  year from 2001 to 2003.
“I could be another four or five years,” Gooch said. “But it probably would have taken that long anyway. Even if we had won the appeals case, they would have appealed it to the Kentucky Supreme Court.”
In other business, Brenda Brasher was appointed to the Providence Housing Commission with a unanimous vote.
Council Woman Dolores Overby expressed her concern to the council about seeing water flowing into the street from a vacant house on Princeton Street.
Fire Cheif Brad Curry also reported to the council that some of the food stored in the city’s disaster supply building would soon expire.

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