AIG Won't Join $25B Suit Challenging Its Bailout

Law360, New York (January 9, 2013, 3:36 PM EST) -- American International Group Inc.'s directors on Wednesday decided against taking part in a $25 billion suit against the U.S. government over its bailout, after news that the insurer was even considering the move sparked widespread outrage.

The board met to consider taking over a lawsuit in which former AIG chief Maurice "Hank" Greenberg challenges the constitutionality of the U.S. government's bailout of the insurer in 2008. Greenberg's Starr International Co. had demanded that AIG pursue claims against the U.S. and the Federal Reserve Board of New...
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