Source: USA Today
American International Group, the insurer rescued by the U.S. government in 2008 with a bailout that ultimately totaled $182 billion, may now join a lawsuit against the government alleging the terms of the deal were unfair, the company told Reuters news service Tuesday.
Reuters reported that the Federal Reserve Bank of New York, a key player in approving the bailout, said that AIG could have chosen bankruptcy and entirely wiped out shareholders.
If true, AIG’s move comes at an awkward moment because there is nationwide TV ad campaign from the company, thanking Uncle Sam for its help during the bailout, according to Reuters.
Reuters reported that AIG confirmed its board is set to discuss the lawsuit Wednesday, which was first filed by company’s former CEO, Maurice “Hank” Greenberg.