In Karaiskos v. Metagenics, Inc. (AHM 0070712), the applicant's claim was settled by Compromise and Release (C&R) with the carrier left to litigate EDD's lien. On March 13, 2001, the WCJ found in relevant part that CIGA may be required to make payment to the EDD. As argued by the [EDD], this is actually money that is reimbursed into the account held by a particular applicant. As in Karaiskos, it was subsequently determined that an en banc decision would be appropriate, and the parties were provided an opportunity to file supplemental briefs. As noted in the Karaiskos case, Cal Comp was declared insolvent on September 26, 2000, and CIGA became responsible for its covered claims.

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