Editing American International Group (AIG) (section)

===NED===
The NED, established in 1983 with CIA involvement, funds pro-democracy groups to influence foreign governments. AIG’s global financial reach and ties to intelligence figures like Greenberg, who declined a CIA deputy director role under Reagan, position it as a potential partner in NED’s activities. Stephen Kinzer’s 2021 articles highlight NED’s collaboration with the CIA and USAID to support insurgent forces, a role AIG’s financial infrastructure could have supported through offshore accounts or insurance for NED-funded projects. However, no declassified documents directly confirm AIG’s involvement with NED.

"Coral Reinsurance Company, which had been set up in the offshore haven of Barbados. Reinsurance is basically insurance for insurance companies: it allows company A (in this case, the primary insurance firm) to offload portions of its risk onto company B (the reinsurance company). The reasons for this are multifold. It offers a buffer or protection for the insurance company from risks, while also - and perhaps more importantly - allowing insurance companies to engage in expanded business practices that might otherwise have been blocked by government regulations requiring particular asset to risk ratios. Often, insurance companies will set up their own reinsurance companies for this exact purpose. In order to hide the ownership structure, offshore havens are selected to create these companies.

This is exactly how Coral functioned. It took debt and other risks off the books of its parent, though this parent was hidden through proxies. On the other side of this firewall, in actual control of Coral, was American International Group (AIG), the international insurance and finance monolith that, during the 2008 financial crisis, was bailed out by the US government to the tune of $180 billion dollars. In the Financial Crisis Inquiry Report, published in 2011, AIG was identified as having a lengthy history of engaging in overly risky ventures, frequently carried out with little to no hedging or protection.116 AIGs creation of Coral is just one example of this.

In order to hide its connection to Coral, AIG had called upon the resources of Goldman Sachs, which in turn did the actual legwork in settingup the reinsurance company. Overseeing this operation was the head of Goldmans stock and bonding trading department, Robert Rubin."