Oregon Public Employees Retirement Fund, Salem, will receive $8 million from American International Group in a settlement of a lawsuit against the insurer that claimed it inflated the value of its shares between 2000 and 2005.
The $51.5 billion fund, which is overseen by the Oregon Investment Council, Tigard, will receive the settlement in March, state Treasurer Ben Westlund and Attorney General John Kroger announced Feb. 25.
The lawsuit filed with the Multnomah County Circuit Court, Portland, Ore., claimed the fund lost about $15 million in its AIG investments and charged the company with repeatedly failing to disclose allegedly unethical and improper activities, including a bid-rigging scheme with other insures.
AIG admitted no guilt, wrongdoing or liability as part of the settlement.
“Although AIG denies all liability and allegations of wrongdoing in connection with this lawsuit, AIG is pleased to have resolved the matter and avoided the distraction and cost of further litigation,” AIG officials said in a statement. “We remain focused on repaying the American taxpayer.”