A group of Lloyd’s syndicates have sought to block £45m in defence funding for two former Petrofac executives facing a criminal bribery trial.

The group of syndicates provided directors’ and officers’ (D&O) insurance coverage to Petrofac’s former chief operating officer, Marwan Chedid, and former chief operations officer George Salibi.

Chedid and Salibi rely on Petrofac’s D&O insurance to cover their legal costs, but the insurers argued the alleged fraud violated the policy. The Lloyd’s underwriters filed a claim in the High Court in August to withdraw the coverage.

In September, Mr Justice Jacobs ruled that the insurers cannot withhold funding and must continue to cover them unless the bribery allegations are proven in court. The parties were at the Court of Appeal on Thursday as several syndicates sought to overturn the ruling.

The costs were covered under a primary and first excess policy, whose limits were nearly exhausted, but the reinsurers provided a second layer of coverage with a £45m limit.

Of the nine insurance firms listed to appeal, only four appealed the ruling, with two being Lloyd’s syndicates Samford Underwriting and Gracechurch UTG (formerly known as ANV). Resinsurance firms MS Amlin and MSI are also appealing. One of the claimants, Liberty Managing Agency, confirmed to that it was not appealing.

SFO trial to commence in November

The Serious Fraud Office (SFO) brought criminal charges against Chedid and Salibi in February 2024 for allegedly offering and paying agents over $30m to influence the awarding of contracts worth about $3.3bn in Petrofac’s favour.

The alleged contracts relate to oil facilities in the UAE, including one for the infrastructure and design of the Gulf’s second-largest oil field, the Upper Zakum Field Development Project.

Both Chedid and Salibi both have pleaded not guilty to the charges. The SFO confirmed to that the trial against Chedid and Salibi, which was due to start on 2 November, will begin on 23 November at Southwark Crown Court.

Petrofac pleaded guilty on 4 October 2021 to seven counts of failing to prevent bribery under the UK Bribery Act.

“This is a very important case for the insurance industry, for white-collar criminal defendants and defence practitioners,” Macfarlanes partner, Lorna Emson, told .

“With the increasing criminalisation of the boardroom, and the widening of scope to attribute the liability of senior management to corporates, the Court of Appeal’s decision in this case will be significant,” Emson said.

Jason Williams, head of division at the SFO, said in a statement: “The SFO is aware of the hearing but is not a party to these proceedings.”

“We continue with trial preparation ahead of our case starting in November 2026.”

Liberty Managing Agency declined to comment.

Petrofac, Chedid and Salibi’s legal representatives, and the insurers’ legal representatives were contacted for comment.