American International Group Inc.’s near failure in 2008 shows that government watchdogs may struggle to curb risk beyond insurers’ traditional underwriting businesses, an executive at rival Berkshire Hathaway Inc. said.
American International Group Inc. ’s swaps unit sued ICP Asset Management LLC for fraud in connection with collateralized debt obligations that the insurer says cost it more than $350 million in damages.
Andrew Forster , an executive of American International Group Inc. ’s derivatives unit, said he was surprised that the insurer’s managers were unaware of collateral-posting requirements included in the contracts.
As International Monetary Fund chief Dominique Strauss-Kahn awaits his first court appearance on attempted rape charges in New York, the IMF has called on John Lipsky, who it named acting director yesterday, to guide it through its own crisis.
Water and electric customers in the Seattle area, most of whom pay U.S. taxes, will pay an additional $14 million to get out of an agreement with American International Group Inc., the insurance company rescued from insolvency in 2008 by American taxpayers.
Federal prosecutors won’t bring charges against former American International Group Inc. executive Joseph Cassano related to the insurer’s collapse, according to a person familiar with the investigation.
Liabilities of shadow banks, or institutions without access to central bank loans or permanent federal guarantees, still exceed the traditional banking system’s three years after the financial crisis began, according to a report from the Federal Reserve Bank of New York.