Insurers' 9/11 suit against Saudis dropped in Pa.

September 22, 2011 - 8:40 AM

PHILADELPHIA (AP) — A lawsuit accusing Saudi Arabia of funneling money to al-Qaida has been dropped by insurers that paid out millions following the September 11 terror attacks.

The Tribune-Democrat of Johnstown reports the suit brought by a Lloyd's of London insurance syndicate was withdrawn Monday. The dismissal notice does not indicate why the suit was dropped.

Lloyd's attorney Stephen Cozen tells The Tribune-Democrat (http://bit.ly/mUbk2l ) he could not comment beyond confirming the dismissal.

The suit aimed to recoup $215 million paid out on policies covering airlines, security companies and airport authorities. It claimed that Saudi Arabia made charitable donations to Muslim groups that were then funneled to al-Qaida.

An appeals court in New York had said in 2008 that the Saudi royal family and other defendants were immune from such lawsuits.