NU Online News Service, May 14, 2004, 5:23 p.m. EDT – The U.S. Securities and Exchange Commission is looking at a “limited number” of variable insurance contracts at General American Life Insurance Company, according to MetLife Inc., New York.[@@]
The SEC has sent General American, St. Louis, a “Wells Notice” in connection with a previously announced SEC investigation that has focused on market timing and late trading within the variable insurance contracts, MetLife says.
The SEC is warning that it could “bring a civil action alleging violations of U.S. securities laws,” MetLife says.
MetLife points out that SEC procedures give General American a chance to respond to SEC staff members before the staff members make any formal recommendations about what the SEC should do.
“MetLife continues to cooperate fully with the SEC in its investigation and is unaware of any systemic problems with respect to such matters that may have a material adverse effect upon MetLife’s consolidated financial position,” MetLife says.