A New York grand jury is investigating possible criminal conduct at insurance company American International Group Inc, Bloomberg News reported on Friday. New York Attorney General Eliot Spitzer is giving evidence that may result in indictments, Bloomberg said, citing people familiar with the matter. The world's largest insurer by market value on May 1 detailed a lengthy list of accounting and other improprieties that forced it to delay the filing of its 2004 annual report with the US Securities and Exchange Commission for a third time. It also cut its net worth by $2.7 billion, or 3.3 percent, and said it will restate financial reports from 2000 through the third quarter of 2004.
The company is under investigation by Spitzer, the US Securities and Exchange Commission, and other authorities relating to its accounting mistakes.
Spitzer in early April had said a civil resolution could be worked out with the insurance company, implying an indictment of the whole company was not forthcoming.
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