AIG Says NY Probing If ALICO Misled Regulator, Lacked License

October 31, 2013 by Kimberly Tallon, Marci Jacobs and Zeke Faux

American International Group Inc. said regulators in New York are probing whether former subsidiaries lacked proper licenses and provided misleading information.

The insurer is responding to requests from the New York Department of Financial Services and Manhattan District Attorney’s Office for information about ALICO and Delaware American, which were sold to MetLife Inc. in 2010, AIG said Thursday in a regulatory filing.

“The inquiries relate to whether ALICO, DelAm and their representatives conducted insurance business in New York over an extended period of time without a license, and whether certain representations by ALICO concerning its activities in New York were accurate,” according to the filing.

Jon Diat, a spokesman for New York-based AIG, declined to comment, as did Matt Anderson of the Department of Financial Services and Joan Vollero of the District Attorney’s Office.

MetLife has previously said it was contacted by regulators about whether the operations did business without a license. John Calagna, a spokesman for New York-based MetLife, declined to comment.
–With assistance from Zachary Tracer and Tiffany Kary in New York. Editors: Dan Kraut, Christine Harper