Judge Finds In Favor of Starr on AIG Breach-Of-Trust Claim

NEW YORK - A company run by the former chief of American International Group Inc. did not breach its duty to the insurer by selling $4.3 billion of AIG stock, a New York federal judge has ruled. Starr International Co. Inc. v. American International Group Inc., No. 05-6283 (S.D. N.Y.).

In upholding a July jury verdict, U.S. District Judge Jed S. Rakoff of the U.S. District Court for the Southern District of New York ruled Aug. 31 that AIG failed to prove that Starr International Company Inc. held the shares in an oral trust solely for the benefit of AIG. …