Boston, MA 08/18/2014 (wallstreetpr) – Large insurance players deploy registered lobbyists to influence the policymakers and government officials. The insurance major American International Group Inc (NYSE:AIG) received strong public criticism for such kind of incidences.
During the financial crisis, AIG though rescued through $182 billion bailouts by the U.S. Government; it continued to spend heavily on policymakers and paid massive bonuses.
During 2007 and 2008, the insurer spent nearly $11 million on lobby, paid service fees of $120,000 in 2012 and $140,000 in 2013 and $80,000 for the year 2014 to Patton Boggs, a law firm, as per the Senate lobbying database. Similarly, AIG also donated $337,358 in 2008 for election campaigns through its Political Action Committee, or PAC, which remained inactive since 2010.
The insurer said that it stopped lobbying since 2009 and not involved in such activities to influence the lawmakers. However, two people Lauren Scott and Mary Frances Monroe seem to represent AIG according to a recent update in their LinkedIn profile. In addition, a recent job advertisement wants to hire someone who will be responsible for the PAC’s daily activities raise the concern of such activities again.
As per the professional networking site, in May 2014, Scott is working as Director, International Regulatory and Government Affairs, American International Group Inc (NYSE:AIG), Washington, who previously worked as Director, International and Insurance, American Council of Life Insurers. Monroe, on the other end, joined as Head, International Regulatory, AIG, in February 2014, who worked as Federal Reserve Supervisor in a consulting firm.
American International Group Inc (NYSE:AIG) said that it has resolved the ongoing crisis, which they witnessed due to the huge loss from a derivative transaction, and returned to the normal condition. Now, the Financial Stability Oversight Council streamlined the business with Government’s bailout funds and stopped lobbying.
But, the addition of these two people by American International Group Inc (NYSE:AIG) is not clear whether they will acts as lobbyists or not; previous experiences clearly proved that Monroe was a registered lobbyist. Moreover, fresh recruitment to assists AIG PAC events may initiate the political move.