This may be a case of biting the hand that gave you $182 billion.
The American International Group (AIG) board plans to meet today to decide if it will join in a $25 billion shareholder lawsuit against the government (that’s you) over the terms of its 2008 bailout, the New York Times reported.
Sounds crazy, we know.
According to the Times: “The lawsuit contends that the onerous nature of the rescue — the taking of what became a 92 percent stake in the company, the deal’s high interest rates and the funneling of billions to the insurer’s Wall Street clients — deprived shareholders of tens of billions of dollars and violated the Fifth Amendment, which prohibits the taking of private property for ‘public use, without just compensation.’”
According to the Hill, Sen. Elizabeth Warren (D-Mass.) and Rep. Elijah Cummings (D-Md.) are among the politicians disturbed by the potential suit.
“Taxpayers across this country saved AIG from ruin, and it would be outrageous for this company to turn around and sue the federal government because they think the deal wasn’t generous enough,” Warren said, according to The Hill’s “On the Money” blog.
The ‘suing us’ talk comes just weeks after AIG released its commercial thanking us for all that awesome help in using $182 billion to save it from collapse.
What do you think?
Should suing us even be an option for AIG?
Contact this blogger at arobinson@DaytonDailyNews.com or Twitter.com/DDNSmartMouth