DELAY THE AIG-GREENBERG AGREEMENT, LAWYER PLEADS

New York-based AIG and its one-time CEO Maurice "Hank" Greenberg should postpone the settlement that they announced last week ( IIN 24, November 26 2009) in order to investigate shareholder claims, a lawyer representing Louisiana pension funds has told a Delaware judge. Stuart Grant asked Judge Leo Strine in Delaware Chancery Court for a 10-day delay, asserting that the agreement as written would permit AIG executives in Delaware to state that all claims against them had been released. AIG counsel Mark Hurd filed that Mr Grant was wrong, and that the Greenberg accord did not eliminate shareholder plaintiff's claims. Mr Grant told Bloomberg that details of the settlement were not clear, and that a court hearing on his motion had not yet been scheduled.