Three former leaders of defunct law firm Dewey & LeBoeuf accused of falsifying the company's financial results cannot go to trial in January because an insurance company has refused to pay their latest legal bills, their lawyers told a judge on Friday, Reuters reported yesterday. Justice Robert Stolz of New York State Supreme Court in Manhattan agreed to postpone the case for a month, setting a February 23 trial date, while legal wrangling takes place to get the insurer to pay up. Former Dewey chairman Steven Davis, ex-executive director Stephen DiCarmine and former chief financial officer Joel Sanders face grand larceny, scheming to defraud and other criminal charges. They are accused of overstating revenue and decreasing expenses to keep the firm's true financial condition from banks and other creditors. Two carriers have paid a total of $35 million in claims under Dewey's directors and officers insurance, the lawyers said, but the third has refused to make good on its $15 million of coverage.
