April 2010/4

A lawsuit filed by Madoff-hit Greenwich National Bank and several other investment institutions against US insurer Travelers and its subsidiary, St Paul Mercury Insurance Company, was dismissed last week.

In a surprise twist to what looked like a done deal, the Australian watchdog has today (19 April) blocked National Australia Bank (NAB)'s A$14bn ($12.95bn) bid for Axa Asia Pacific Holdings on competition grounds.

Former American International Group (AIG) chief executive Maurice "Hank" Greenberg has asked a US judge to dismiss a 2005 civil fraud lawsuit accusing him of being liable for a sham reinsurance transaction.

US regulator the Securities and Exchange Commission (SEC) was aware that Allen Stanford and Stanford Financial Group (SFG) were potentially orchestrating a massive fraud as far back as 1997 but did nothing to protect investors for 10 years, a damning report has claimed.

US investment bank Goldman Sachs has been charged by the Securities and Exchange Commission (SEC) with defrauding investors in the sale of subprime financial products that allegedly cost their customers more than $1bn.

Losses in the first quarter of 2010 could drive more (re)insurers to look for capacity in the capital markets, according to Guy Carpenter.

A $100mn issuance is understood to be on the way from US insurer Assurant, which will provide cover for the company's US wind exposure.

CEO Marshall Kath resigned from Colemont Insurance Brokers and will have no future role with the company following its merger with private equity-backed US broker AmWINS, it emerged last week.

Last week's management reshuffle has seen Andrew Marcell - previously Guy Carpenter's head of American operations - unveiled to run the firm's global facultative and speciality business from London.

Investment firm Fairholme Capital Management is now the second largest shareholder in American International Group (AIG) behind the US government, after disclosing last week that it bought approximately 15 million shares to secure an 11.1 percent stake.

Underwriting returns in Berkshire Hathaway's property and casualty (P&C) operations are to fall to less than a third of 2009 levels by next year, according to Barclays Capital.

Andrew Appel, the former management consultant who masterminded the integration of Aon Re and Benfield Group, will return to the parent company as part of senior management restructuring at the world's largest reinsurance broker, The Insurance Insider revealed last week.