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Especially given the fact that he was actually told by legal counsel that this action violated the Constitution, Zaccari in no way deserved the protection of qualified immunity or the indemnification provided by the taxpayers of Georgia.
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Are the expansive indemnification provisions provided by public companies really necessary, or do they allow executives to escape penalty for their wrongdoing?
For example, it may affect the board member's access to directors and officers liability insurance — known as the "D&O" coverage and indemnification protection provided by the company.
According to a timeline provided by the subcommittee, new indemnification agreements were struck for the top Fannie executives in May 2004, well after the company's regulator had begun an extensive investigation into the company's accounting practices.
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