Former AIG Exec Sentenced to 4 Years, Fined $200,000
Christian Milton, AIG's long-time vice president of reinsurance was sentenced to 4 years in prison, fined $200,000 and faces deportation upon serving his sentence for securities fraud, conspiracy, mail fraud and making false statements to the Securities and Exchange Commission.
Last Tuesday, 61 year old, England transplant Milton was handed a 4-year sentence and fined $200,000 for "manipulating AIG's financial statements to falsely inflate AIG's reported loss reserves" which benefited his personal compensation plan as it was tied to AIG's stock. Four former General Re Corp. executives were also charged in the investigation for their participation in falsifying reports and, ultimately, AIG's financial health. General Re Corp, in collusion with AIG, took out reinsurance policies with AIG boosting AIG's stock price and "inflating the reserves by $500 million." The judge overseeing the case, Christopher Droney, said "[Milton] surely knew this was a scam from the very start," "This was no momentary lapse in judgement."
One of the four former Gen Re executives was sentenced to 2 years and fined $200,000 in December, the rest await sentencing.
Securities Attorneys
If you have incurred financial losses due to fraudulent acts or advice of a financial planner or advisor, a securities attorney may be able to help you claim compensation for your losses.
If you or a loved one have been affected by securities fraud, contact a securities attorney at Arnold & Itkin LLP.
