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WORLD> America
PwC in $97.5M settlement in Ohio over AIG
(Agencies)
Updated: 2008-10-04 13:52
COLUMBUS, Ohio -- PricewaterhouseCoopers LLP has agreed to pay $97.5 million to partly settle claims made in Ohio over its audits of the failed insurance company American International Group Inc.

A spokeswoman for the Ohio Attorney General, Nancy Rogers, said Friday that the auditing firm has reached a tentative agreement over the claims in a class action complaint, which alleged that PwC violated securities laws by issuing unqualified audit opinions on AIG's financial statements.

Ohio is prosecuting the case on behalf of the Ohio Public Employees Retirement System, State Teachers Retirement System and Ohio Police & Fire Pension Fund. It seeks damages for investors who purchased AIG securities between October 28, 1999, and April 1, 2005.

The US government bailed out AIG with an $85 billion loan and will get warrants to buy about 80 percent of the company in return. On Friday AIG said it planned to sell off several of its businesses in order to pay the loan back.

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