Business

Judge dismisses suit over AIG rescue

NEW YORK — A federal judge has dismissed a $25 ­billion lawsuit arising from the government rescue of the insurance company American International Group during the 2008 financial crisis.

Starr International, a company run by AIG’s former CEO, Maurice ‘‘Hank’’ Greenberg, accused the Federal Reserve Bank of New York of taking valuable assets from AIG shareholders without their consent or fair compensation.

The lawsuit, filed in November­ 2011, was dismissed Monday by US District Judge Paul Engelmayer in Manhattan.

Advertisement

The government poured $182 billion into AIG to keep it afloat and has been selling the stake it got in return. The company said in September that the government owned 16 percent of AIG’s stock.