C.V. Starr & Co., headed by former American International Group boss Maurice Greenberg, has offered to buy out the part of Starr held by current AIG executives, according to a securities filing.
The proposal reported in AIG's 8-K filing yesterday with the Securities and Exchange Commission also detailed a new compensation formula AIG has arranged for its key executives. The formula is a long-term bonus program for those executives.
The 8-K, however, was not clear about whether the C.V. Starr purchase was of its own stock or Starr International. An AIG spokesman said he could not provide additional information.
Mr. Greenberg was forced out as AIG chairman and chief executive officer in March as the company came under scrutiny by authorities for alleged fraudulent accounting practices.
Starr International is a financial vehicle based in Bermuda that was designed to enhance the compensation portfolio of AIG executives. C.V. Starr is a Delaware-based brokerage firm, whose ownership is connected to Mr. Greenberg.
The filing also did not detail whether it resolved any of the outstanding litigation between AIG and Starr.
In October, AIG filed suit in federal court seeking to take control of over $15 billion in stock owned by Starr International Company. The move was a counterclaim to Starr's suit in July to obtain $15 million worth of art hanging in various AIG offices.
An AIG representative said the purchase had no bearing on the ongoing litigation.
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
