INSURANCE

Garamendi Urges OK of Executive Life Sale: California Insurance Commissioner John Garamendi urged a state court judge in Los Angeles to quickly approve the pending $3.55-billion sale of failed Executive Life Insurance Co. because more than $270 million of the company’s junk bonds have defaulted in the last month alone. Garamendi told Judge Kurt Lewin that although the junk bond market as a whole has improved, “that is not true of the (Executive Life) junk bond portfolio.” Delays in completing the transaction are costing Altus Finance, the proposed buyer of the company’s junk bond portfolio, “substantial sums,” said Garamendi. He said the delay was being caused by motions by trustees for about $1.85 billion of municipal bonds backed by Executive Life who oppose the sale.