John Paulson’s planned exit will remove one of the AIG board’s more prominent advocates for shrinking the company. (Photo: AIG)

(Bloomberg) – Billionaire John Paulson is planning to step down from American International Group Inc.’s board after his hedge fund sold shares in the insurer, according to a person familiar with the plan.

The move is expected to be announced in the insurer’s proxy filing within days, said the person, who asked not to be identified discussing disclosures that haven’t been made public.

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