Kentucky Code § KRS 12.212

Attorney General may decline to defend when certain circumstances exist
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(1) The Attorney General may decline to provide for the defense of a civil action brought against an employee or former employee if he determines that: (a) The act or omission was not within the scope and course of his employment as a state employee; or (b) The employee or former employee acted or failed to act because of actual fraud, corruption, or actual malice on his part; or (c) Defense of the action by the Commonwealth would create a conflict of interest between the Commonwealth and the employee or former employee; or (d) Defense of the action would not be in the best interests of the Commonwealth. (2) The Attorney General may delegate his authority to make these determinations to the chief administrative authority of any agency, institution, board, or co mmission whose employees are to be defended.

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