Ben Bernanke Won’t Need To Testify In American International Group Inc (NYSE:AIG) Lawsuit

Posted by Nathan Alexander October 17, 2013 0 Comment 947 views

On Wednesday, the Federal Appeals court said that Ben Bernanke, the Federal Reserve Chairman, will not have to testify in the multi-billion dollar suit that has been filed by the ex- chief of American International Group Inc (NYSE:AIG) against the U.S. the lawsuit had been filed over the 2008 bailout that the insurer had received.

This ruling came from the United States court of Appeals- Federal Circuit. This ruling overturned the decision that had been passed by a lower court in July that said that Bernanke will have to submit to the deposition by Maurice “Hank” Greenberg’s lawyers. The latter was the former Chief Executive. The panel said that deposing Bernanke while he is still in office would disrupt the current government activities. At one point, Greenberg’s company, Starr International, was American International Group Inc (NYSE:AIG)’s largest shareholder with its 12% stake. The panel said that that it did not meet the legal threshold that is required to depose any senior government-officials or to gain access to the deliberative process by the Fed or even on Bernanke’s mental processes.

Wednesday’s trading

In Wednesday’s trading, American International Group Inc (NYSE:AIG) rose by 2.48%. The opening price of the shares was $50.34, which climbed to an intraday high of $51.48 and dipped to a close of $51.26. Approximately 9.34 million shares were traded on Wednesday while an average volume of 8.38 million shares were traded over a 30 day period. The 52-week low of American International Group Inc (NYSE:AIG) shares is $30.64 and its 52-week high is $51.48. The company has a market capitalization of $75.68 billion.

About the company

American International Group Inc (NYSE:AIG) is an international insurance company. It provides numerous products such as property casualty-insurance, life-insurance, retirement, mortgage-insurance as well as various other financial services to its customers across more than 130 different countries.

About Nathan Alexander

Nathan Alexander holds bachelor’s degrees in Journalism and European Studies from Boston University. Nathan reports round up the day’s business and financial market news and include keynote interviews with major business players and updates on Asian, European and US stock markets. He has interviewed heads of leading European banking institutions such as European Central Bank President Jean-Claude Trichet and HSBC Chairman Stephen Green, and CEOs from the business world including Microsoft founder Bill Gates, Virgin Chairman Sir Richard Branson and former Porsche President and CEO Dr Wendelin Wiedeking.

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