Irony

Former A.I.G. Chief Sues A.I.G.

As if A.I.G needed a subplot right now, the insurance giant’s former CEO, Maurice “Hank” Greenberg, has sued the company that he led for 40 years, alleging he was sold A.I.G. stock at inflated prices. Greenberg led A.I.G. from 1967 until 2005, when he resigned amid fraud charges during the reign of New York Attorney General Eliot Spitzer. He says he acquired the stock as part of his deferred compensation plan, and is now seeking to put several of the company’s former leaders before a jury, as well as recover the difference in value between the price he paid for the stock and what he says is its “true and fair” value. The lawsuit, filed on Friday in New York federal court, came just three days before A.I.G. declared a record $64 billion quarterly loss, and announced it will break apart and turn its largest divisions over the U.S. government.