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State Doesn't Have to Repay Money it Took from Comp Fund

By Sherri Okamoto (Legal Reporter)

Tuesday, November 26, 2013 | 0

The Kentucky Supreme Court ruled that it cannot order the state to return the $32 million that state officials unconstitutionally raided from reserves of the state's second-injury fund during the course of a decade in order to shore up the state's general revenue fund. Attempting to impose such a "reparative injunction" against the state would violate principles of sovereign immunity and the separation of powers since it would involve the judiciary telling the Legislature how to spend its money, the state's high court said in a decision released Thursday.The court also said th...

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