• Company
  • Description
  • Recovery Amount
  • AIG
  • In re American International Group, Inc. Consolidated Derivative Litigation


Delaware Chancery Court

G&E achieved a settlement of derivative claims against former American International Group, Inc. (“AIG”) CEO Hank Greenberg and other officers of the insurer in connection with a well-documented bid-rigging scheme used to inflate the company’s income. The scheme – which included an array of wrongful activities, such as sham insurance transactions intended to deceive shareholders and illegal contingent commissions which amounted to kickbacks to obtain business – caused billions of dollars’ worth of damage to AIG, and ultimately led to the restatement of years of financial statements. In approving a settlement that returned $90 million to AIG, the Court said the settlement was “an incentive for real litigation” with “a lot of high-quality lawyering.”