The FBI is reportedly investigating American International Group (AIG) for fraud in connection with the September 2008 economic crisis on Wall Street. The investigation is still in its initial stages and brings to 26 the number of corporate lending entities currently being investigated by federal authorities.
Quotes
"“[T]he F.B.I. will pursue these cases as far up the corporate chain as is necessary to ensure that those responsible receive the justice they deserve.”—Robert S. Mueller, FBI Director
AIG Bailout Impact
While AIG's implosion result in a criminal investigation and/or fraud charges against their executives?(1 Answer)
A:
Time will tell. According to reports the FBI has been investigating the company for some months now for mortgage fraud. There was also and SEC probe about the ...
Confused. Why would the government face law suits if AIG's bonuses weren't paid out? Is AIG privately owned? Wouldn't THEY would be sued?(1 Answer)
A:
Because of the structure of the bailout with AIG, we the American people a.k.a. own a large portion of AIG. If the government were to flat ...
AIG did owe $500 billion, if long term interest rates go up one percent. Does this correlation still exist?(1 Answer)
A:
No, the government now owes it for the entity placed in conservatorship. The non-conservatored entities have fixed rate obligations that actively trade in the debt market.
References
Fast Facts
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Fact:
AIG bailed out with $85 billion package from the Federal Reserve
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Fact:
In return for bailout, Federal Reserve acquired 80% stake in company
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Fact:
AIG is massive insurance and financial services company
