C.V. Starr companies today filed suit in state court inManhattan accusing American International Group and three of itsemployees of stealing clients, proprietary information andemployees.

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The action is the latest court battle between the Starr entitiescontrolled by former AIG Chairman Maurice Greenberg and hisex-company.

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Four C.V. Starr & Co. Inc. subsidiaries–Starr Tech, StarrAviation, C.V. Starr & Co. and American International MarineAgency–filed the action in New York State Supreme Court, acounty-level tribunal.

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Starr brokerage and managing general agent operations were onceintertwined with AIG but began an acrimonious separation after Mr.Greenberg was ousted last year during a New York investigation ofaccounting and other irregularities at AIG that led the insurer toagree to a $1.64 billion settlement.

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The latest Starr suit named up to 100 AIG co-conspirators.

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“This lawsuit exposes a string of illegal activity at AIGdesigned to eliminate the C.V. Starr agencies,” said Starrspokesman Howard Opinksy.

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The lawsuit alleges that two former employees and the formervice chairman of Starr misappropriated confidential information andattempted to discredit it in the marketplace once they went over toAIG.

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In addition, AIG was accused of “poaching” Starr employees andbarring access to their offices.

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The agencies are seeking punitive damages and an orderprohibiting AIG from using proprietary information of the Starragencies.

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AIG spokesman Christian Murray said the company does not commenton ongoing litigation.

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