FLORIDA OFFICE OF INSURANCE REGULATION ISSUES ORDER
The Florida Office of Insurance Regulation has joined the ever-increasing tide of regulatory bodies seeking answers from American International Group, Inc. (AIG). AIG operates 43 licensed insurance entities in the State of Florida. The Office has issued an order to these companies that they must turn over information regarding AIG’s admitted misrepresentations on financial statements.
The financial community has been rocked with the results of investigations by the Securities and Exchange Commission (SEC) and other regulatory bodies which have led to subsequent admissions by AIG that certain reinsurance transactions were misrepresented on the company’s financial statements. AIG’s admissions appear to indicate violations of both federal and state laws.
To comply with the Office’s order, the AIG companies must report on the nature and extent of these misrepresentations and identify and remove any parties culpable in this matter. The Order also requires AIG to file, by July 1, 2005, true and correct financial statements for the years of 2000 through 2005 for all AIG entities licensed in Florida.
Failure to comply with the Order may lead to the suspension of AIG’s licensed companies in Florida and other potential action against these companies and affiliated parties to enforce compliance with the laws of the State of Florida.
Lake County, the 43rd county, was established May 27, 1887, being taken from Orange and Sumter counties and named for the large number of lakes within its boundaries. The courthouse, above, was built in 1924.