Island-based RL360 was targeted in an insurance fraud, the high court had heard.

Dr Olufemi Akintonde Lalude is suing the insurance company for damages, alleging breach of contract and negligence.

RL360 denies the claims.

The court heard that in May 2013 the defendant received a letter purporting to be from Joanna Maduka & Co which held itself out to be a firm of solicitors based in the Republic of Benin.

It asserted that Dr Lalude was recently deceased and that Joanna Maduka as administrator of his estate was requesting an update of the current value of his capital investment portfolio policy and advice on how to cash that policy.

RL360 asked for a series of documents including the original death certificate, an Isle of Man grant of probate and certified copies of identification and proof of address for each executor.

In June that year Joanna Maduka supplied a copy of the sealed grant of letter of administration issued by the Isle of Man court.

This grant was apparently in favour of A O Lalude and E A Lalude, the claimant’s sons, as administrators of their father’s estate.

But it turned out that the grant was obtained fraudulently - not least because, as it later transpired, the claimant is very much alive.

By that time, however, as a result of the fraudulent actions, the defendant paid the proceeds of the policy, amounting to $213,246.62, into a bank account in the name of A O Lalude.

The money was not paid to the sons but to an imposter who had effectively stolen their identity.

That transfer took place on or about June 29, 2013.

The fraud was discovered when Dr Lalude himself contacted RL360 regarding a problem he was experiencing when attempting to access the policy online.

No death certificate, as requested by the defendant, was ever supplied, the court heard.

RL360 argued it had made the payment in good faith.

But the court was asked to determine whether that would provide a defence to the claim, given that the money was received by an imposter who had effectively stolen the identity of those named on the grant.

No order was made on that preliminary issue. A substantive hearing will be held at a date to be fixed.