Former AIG director backs Greenberg’s claim of no deal
AIG’s lawyer Ted Wells questioned past statements and testimony of former chief executive Maurice "Hank" Greenberg on Tuesday in the trial over disputed shares between the insurer and Greenberg-controlled Starr International, Reuters reports.
Wells asked why it took seven years for Starr's acquisition of AIG stock in 1970 to be put in writing.
Bloomberg reports that Carla Hills, a director from 1983 to 2006, told jurors that Sico set up a trust that ultimately benefited charity, not AIG, and could be dissolved at any time. Her account bolstered testimony by Greenberg, who said that compensating AIG employees with Sico assets was an act of “generosity,” not an obligation to the insurer.
Hills denied AIG’s claim that an oral trust existed that would benefit the employer if Sico ever dissolved.
Hills admitted being a friend of Greenberg, sharing holidays together.
