Strategy

Greenberg vs. AIG


The long-running drama starring Maurice "Hank" Greenberg and the insurer he built, AIG ( (AIG)), went into its fifth or sixth act as a trial began in a Manhattan courtroom on June 15. This time the focus is on a pool of stock that Greenberg, now 84, sold in his capacity as chairman of Starr International after being ousted from AIG in 2005. AIG claims the stock, worth $4.3 billion in 2005, was part of a deferred compensation program for past, present, and future high-performing employees and that the sale was improper. Starr is being sued by AIG and maintains the stock was part of a charitable trust and not the property of AIG. Although Greenberg has already taken the stand as a hostile witness, further fireworks may be limited by the judge's early ruling that AIG's eventual financial meltdown and government bailout are out of bounds.

American Apparel's Future
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

Companies Mentioned

  • AIG
    (American International Group Inc)
    • $54.52 USD
    • 0.04
    • 0.07%
Market data is delayed at least 15 minutes.
 
blog comments powered by Disqus