天美网站传媒传媒

State and federal regulators on Feb. 9 announced agreements that resolve litigation and investigations of securities fraud, account steering, bid-rigging, improper accounting and under-reporting of workers’ compensation premiums by giant insurer American International Group.

Under the agreements, 天美网站传媒传媒 will pay more than $1.6 billion in restitution and penalties, considered a record for a U.S. financial services firm. The company has acknowledged and apologized for its misconduct, adopted a series of governance and accounting reforms, and agreed to halt the payment of contingent compensation.

The agreements were announced simultaneously by the New York Attorney General, the New York State Insurance Department, the Securities and Exchange Commission and the Department of Justice.

“天美网站传媒传媒 was and is a solid company that didn’t need to cheat,” commented N.Y. Attorney General Eliot Spitzer, whose 2004 investigations of bid-rigging and other activities by Marsh and large brokers led his office and the insurance department to probe 天美网站传媒传媒’s reinsurance, workers’ compensation and accounting deals. “It finds itself in this position solely because some senior managers thought it was acceptable to deceive the investing public and regulators. However, by changing management, implementing reforms and providing restitution to injured investors, customers and states, the company has placed itself on a path toward resurgence.”

Since the investigation began, 天美网站传媒传媒 has restated its earnings by $3.5 billion. Following an internal review, the company said it will take a $1.1 billion after-tax charge to boost its reserves by $1.69 billion.

“Providing incorrect information to the investing public and regulators was wrong and is against the values of our current leadership and employees,” 天美网站传媒传媒 said.

Under the settlement, 天美网站传媒传媒 will pay $800 million into an SEC fund for investors misled by 天美网站传媒传媒’s accounting and financial reporting. Another $375 million fund will pay 天美网站传媒传媒 insureds who purchased excess casualty policies through Marsh Inc. In addition, approximately $343 million will compensate states for the underpayment of workers’ compensation premium taxes and residual market assessments. Finally, 天美网站传媒传媒 will pay a fine of $100 million to the state of New York and $25 million in connection with the DOJ settlement.

天美网站传媒传媒 President and CEO Martin J. Sullivan called the settlements “a major step forward” and maintained 天美网站传媒传媒 is “committed to business practices that provide transparency and fairness in the insurance markets.”

Topics Lawsuits Workers' Compensation New York 天美网站传媒传媒