AIG Slapped With Investor Action Over Complex Equities

Law360, New York (January 26, 2012, 1:31 PM EST) -- An American International Group Inc. shareholder lodged a proposed class action against the insurance giant and its board of directors on Wednesday, accusing them of creating overly complex financial products designed to raise sorely needed capital at the expense of unsophisticated public investors.

As part of an effort to rebound from the devastating 2008 financial crisis, AIG sold equity units on the New York Stock Exchange under the ticker symbol AIGpA, according to the complaint. Despite the lowercase "p" — a common indicator of preferred shares...
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