Greenberg settlement ends legal battle that began with Spitzer | Business Insurance
That is the message from Robert Benmosche, the new CEO of American International Govt must slash spending by Rs 1 trillion to meet fiscal target: Barclays. The selection of the next CEO to succeed Robert Benmosche will likely be made AIG's annual shareholders meeting on Monday is expected to be Mr. Mr. Benmosche and AIG's longtime boss, Maurice “Hank” Greenberg. The settlement also applied to two firms that Mr. Greenberg controls from A.I.G. At A.I.G., Robert H. Benmosche, the new chief executive, has.
Hancock and Wintrob fall out of favor, the person said. Just a few months ago, Mr. Hancock was considered by many analysts and investors to be the favorite internal candidate to take over from Mr. Benmosche has said he plans to step down early next year, in part to spend more time with his family at a residence in Croatia, where he owns a vineyard.
He also is being treated for cancer, though he is currently in good health. Wintrob declined to be interviewed for this article. In a statement Friday, AIG said: The AIG board has spent a considerable amount of time on succession planning as it evaluates both internal and external candidates. Benmosche, 69 years old, helped to stabilize the company after its bailout by the U. Now AIG must continue to adjust to life as a smaller firm under tougher regulation.
Paying Tribute to AIG, MetLife Chief Benmosche
AIG is roughly half the size it was before the crisis, thanks to divestitures of two international life-insurance units long considered crown jewels and sales of numerous other businesses deemed noncore to raise the money to pay back U. Benmosche, the company returned to profitability, installed risk-management controls, and has shed most of the toxic assets that nearly caused its downfall.
Still, many Wall Street analysts and investors say more improvements need to be made in the core property-casualty unit, as Mr. Hancock seeks to wring out costs, use information technology to improve selection of the risks to be insured, and improve profit margins. Hancock, 55, a former J. But the board also is looking seriously at Mr.
Greenberg continues to head Starr Cos.
AIG's new CEO reaches out to Greenberg
The settlement covers the alleged sham transaction with Gen Re, allegations that the insurer participated in the insurance industry bid-rigging and contingent commissions scandal, and allegations that the insurer improperly booked certain workers compensation premiums. The settlement does not extend to Mr.Ex-AIG CEO Shrugs Off Blame
Spitzer drops some charges against Mr. Spitzer wins the New York gubernatorial election and is replaced as attorney general by Andrew Cuomo, who continues with the case against Mr.
Spitzer lasts a little over a year as governor of New York before he is forced to step down after he was allegedly caught on federal wiretap arranging to meet a high-priced prostitute.
Ferguson and the other defendants in the Gen Re loss portfolio transfer case are found guilty of various counts of conspiracy to commit securities and mail fraud and making false statements to the SEC.
Prosecutors alleged that the deal was initiated during a phone call between Mr. Greenberg, who was named as an unindicted co-conspirator in the trial. The convicted executives are later sentenced to fines and jail terms, but the convictions are overturned on appealwith the appeals court ruling that the district court issued an inappropriate jury instruction. Before the case is retried, the executives admit fraud and agree to pay fines as part of a settlement.
Paying Tribute to AIG, MetLife Chief Benmosche
One month later, Mr. Willumstad is replaced by former Allstate Corp. It later repaid the loans but emerged as a smaller and less influential player in the international insurance market. Debate continues to this day as to whether the insurer would have made its ill-fated credit default swaps investments if the famously hands-on Mr.
Greenberg had still been at the helm of the insurer. The relatively modest settlement amount and limited charges were largely seen as a victory for Mr. Greenberg as a sounding board before taking the job. Greenberg reciprocates the compliments. Later in the year, Mr. Smith agree to settle pending lawsuits between them and AIG. Benmosche died in Greenberg files a memorandum seeking to dismiss the suit against him and Mr. Smith originally filed by Mr. In the heavily redacted memo, Mr.
Greenberg asserts that the Gen Re deal and the alleged improper use of offshore vehicle Capco Reinsurance Co. I am very, very much focused on those two conversations Mr. Greenberg had with Mr. Smith can be held liable for damages in the Capco portion of the case but refuses to grant summary judgement on the Gen Re deal. Greenberg vows to appeal the Capco ruling. A few months later, Mr. However, the trial is put on hold pending Mr.