By Daniel Hays
Maurice Greenberg, the head of American International Group for nearly four decades, told the company in a letter from his lawyer last week that he would not seek reelection as non-executive chairman and would retire.
With the company under increasing scrutiny for transactions linked to Greenberg, the AIG board replaced him as CEO two weeks ago with Martin Sullivan. Following this latest news, the board announced that Frank G. Zarb, the boards lead director, will become chairmanat least on a temporary basis.
The board said it was informed of Greenbergs decision to retire in a letter from his attorney David Boies.
In his letter of resignation, Greenberg did not mention what action he would take concerning his posts as president and chairman of C.V. Starr, the Bermuda-based company identified in an analysis by the New York Insurance Department as the ultimate parent of AIG, according to a report by A.G. Edwards & Sons.