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While the Nationals attempt to recoup their money from the Alvarez signing, Rijo has bigger issues on his hands. He was in the news last year when Dominican authorities charged him with money laundering in connection with the activities of Matias Avelino Castro, a suspected Dominican drug trafficker. A prosecutor at the time said that 80 percent of Castro’s assets were in Rijo’s name, including a sports complex and two hotels, and prosecutors have asserted that other drug traffickers have used Rijo’s name to legitimize their real estate transactions.
An employer is responsible for the actions of an employee while the employee is acting as their agent, right?
The Nats are seeking damages based on the actions (fraud) of Jose Rijo while he was an employee of, and acting on behalf of, the Nats.
Isn't this an endless do-loop? Aren't they seeking compensation for a situation for which they are responsible?
#4 Corporations purchase business insurance to cover things like monumental screw-ups by executive officers. There is a name for this kind of insurance, and it's slipped my mind. It sounds like the Nats believe this fraud by an employee would fall under this insurance coverage, and the insurance company is denying the claim. In response, the Nats are suing the insurance company to get (what they believe is) their proper settlement.
Yeah, Rijo was one of my favorite players when he pitched for the Reds. Sad to see his life come to this...
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