Johnson v. Central Standard Life Insurance

Ray P. Gardner and another brought this suit as a class action on behalf of some 41,000 former shareholders of Illinois Bankers Life Assurance Company (“Assurance Company”). The plaintiffs sought an accounting for secret profits allegedly obtained by certain of the defendants, who at the time, occupied a fiduciary relation to the plaintiffs as either the dominant stockholders, directors, or attorney for the Assurance Company.

The case was referred to a master who recommended an accounting against the defendants, Central Standard Life Insurance Company (“Central Standard”), and Alfred…