Elizabeth Monrad, the convicted ex- finance chief of General Reinsurance Corp. who faces possible life in prison

Elizabeth Monrad, the convicted ex- finance chief of General Reinsurance Corp. who faces possible life in prison for her role in a $597 million fraud, said she should have testified at her trial to proclaim her innocence. “I will regret it for the rest of my life,” said Monrad, 54, in an interview with Bloomberg News, her first about the case. “I’m coping. I wall off the normal part of my life from the legal nightmare. I’m still in disbelief. The trial’s outcome was a total shock.”
Monrad was convicted Feb. 15 with four other insurance executives of using a sham transaction in 2000 to deceive shareholders at American International Group Inc. None of the defendants testified. All face as much as life in prison when they are sentenced in federal court in Hartford, Connecticut. Monrad spoke about her defense strategy as one of her co- defendants nears the first sentencing. Prosecutors said former General Re Chief Executive Officer Ronald Ferguson joined Monrad and others who illegally helped AIG add $500 million in loss reserves, a key indicator of an insurer’s health. Ferguson will be sentenced Dec. 16. No date has been set for Monrad. Deciding whether to let an executive testify is one of the hardest choices for a defense lawyer, attorneys say. An executive seeking to explain her state of mind must weigh the peril of cross-examination by prosecutors. In earlier trials, jurors convicted former WorldCom Inc. Chairman Bernard Ebbers and ex- Enron Corp. Chief Executive Officer Jeffrey Skilling after they testified. Ebbers is serving 25 years. Skilling got 24 years. ‘I’m Innocent’ “I know I’m innocent,” said Monrad, who said she will appeal. The other four defendants said they intend to appeal.