In May 2013, RL360° received a letter purporting to be from a firm of solicitors based in the Republic of Benin stating that policyholder Dr Olufemi Lalude had died, reports Isle of Man newspaper Manx Independent.
The solicitors, Joanna Maduka & Co, stated that it was acting as administrators of Lalude’s estate and requested an update on the value of his investment portfolio policy and advice on how to cash it in.
RL360° requested a series of documents, including the original death certificate, an Isle of Man grant of probate and certified copies of identification and proof of address for each executor.
In June 2013, Joanna Maduka provided a copy of the sealed grant of letter of administration issued by the Isle of Man court, which was apparently in favour of A O Lalude and E A Lalude – the sons of the late doctor.
It later transpired that the Lalude was still alive and the grant had been obtained fraudulently.
However, by the time it came to light, the proceeds of the policy, $213,246.62 (£153,194, €172,175) had been paid into a bank account in the name of A O Lalude.
The funds were not paid to the sons but to an imposter who had effectively stolen their identities.
The fraud was uncovered after Lalude contacted RL360° after he experienced difficulty accessing his policy online.
No death certificate was ever supplied.
RL360° argued in court that it had made the payment in good faith. The court has been asked to determine whether that defence can stand, given that the money was paid to an imposter who had effectively stolen the identities of those named on the grant.
No order was made on that issue and a substantive hearing will be held at a date to be fixed, the Manx Independent reported.
