A federal judge ruled last week that Starr International Co. Inc. did not breach its trust to American International Group employees over continuation of a deferred compensation program, but was critical of AIG's former chief executive for playing loose with the facts at times.
U.S. District Court Judge Jed S. Rakoff, sitting in Southern District Court in Manhattan, agreed with a jury's finding that SICO did not establish a deferred compensation program for the express purpose of compensating AIG employees, and that shares in AIG held by SICO were not for that express purpose.
Judge Rakoff's decision came after last month's three-week trial, where the jury found that SICO did not hold shares of AIG stock for the express benefit of AIG, nor that SICO breached any trust by converting those shares for the benefit of SICO. He found that AIG was not entitled to $4.3 billion in damages.
Recommended For You
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
© 2025 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.
