Although New York Attorney General Eliot Spitzer has decided not to pursue criminal charges against former American International Group Chairman and CEO Maurice Greenberg, additional civil charges might be put forth as early as next week.
"The office decided months ago to pursue the case as a civil matter," said Darren Dopp, a spokesman for Spitzer's office. "An amendment to the civil complaint is possible, but no final decision has been made."
The decision to pursue a civil action as opposed to the criminal action is not a retreat, Dopp said, merely a change in direction.
To date, Spitzer's criminal court record around the mutual fund scandal hasn't been too impressive, critics argue. In perhaps the highest profile case, former Bank of America broker Theodore C. Siphol III was acquitted last summer on 29 counts of improper trading practices. Spitzer dropped another set of charges last month.
Spitzer has accused Greenberg and AIG of deception and fraud in the accounting of the firm. The firm allegedly boosted its financial results and was able to drive up its stock price. The investigation led to Greenberg's expulsion; the civil lawsuit followed in May. The AIG veteran of 38 years has denied wrongdoing.
The Kansas City Star reported that there still are two separate investigations looming over Greenberg, and could possibly lead to criminal charges from federal prosecutors.