Arch Capital sued for alleged non-payment of California rail-crash claims

Bermuda-based Arch Capital Group Ltd. and two of its US-domiciled operating subsidiaries are being sued for allegedly refusing to pay claims arising out of litigation filed on behalf of 11 dead and nearly 200 injured victims of a multiple train crash in California two years ago.
Plaintiff the Southern California Regional Rail Authority, d.b.a. Metrolink, is seeking compensatory damages in excess of $1.5 million, plus punitive damages, in a civil complaint that was filed at the Superior Court of California, County of Los Angeles, on June 9, 2008 and transferred to the U. S. District Court for the Central District of California on July 14.