Spitzer: Not Trying To Unsettle A Sector

December 18, 2004

New York Attorney General Eliot Spitzer, who pressured Marsh & McLennan Cos.' chief executive to resign after accusing the insurance broker of rigging bids, said Friday that executives at other brokers and insurers that his investigating haven't misled or deceived him as Marsh did.

Spitzer sued Marsh in October, citing such insurers as American International Group Inc. and Ace Ltd. as participants in price-fixing that jacked up the cost of insurance. The attorney general's refusal to negotiate with former Marsh CEO Jeffrey Greenberg forced his resignation. Greenberg's successor, Michael Cherkasky, is now seeking a settlement.

Spitzer said he's trying to work with Marsh and other companies to ensure "some stability" in the insurance industry. "We are not trying to unsettle a sector that is hugely important."

From wire reports.

Click here to return to our homepage