TAXPAYERS ARE BEING SUED BY
STATE, COUNTY AND MUNICIPAL EMPLOYEES
"A union representing public employees is suing
more than 200 cities, towns, school districts and
public agencies for a share of the
windfall from Anthem Blue Cross." 

Union wants Anthem stock windfall

Asociated Press Article

September 7, 2003 

NEW HAVEN, Conn. -- A union representing public employees is suing more than 200 cities, towns, school districts and public agencies for a share of the windfall from Anthem Blue Cross.

The lawsuit involves millions of dollars received for Anthem stock after the company in November 2001 converted from a mutual company owned by policyholders to a stock company owned by shareholders.

"It should be our benefit to keep," E.J. Robbin, the attorney for the state chapter of the American Federation of State, County and Municipal Employees, said Wednesday.

The lawsuit names 207 defendants, including towns and cities, boards of education and several other agencies.

Under federal stock-distribution rules, "members" of the old mutual company must receive shares based on length of membership and amount of participation.

The union is seeking a declaratory judgment, asking the court to decide who deserves the millions of shares of Anthem Blue Cross/Blue Shield employers or their employees.

AFSCME's Connecticut Council 4 and Connecticut Retiree Chapter 4 are listed as the plaintiffs. A decision favoring AFSCME could mean a windfall for government employees.