Ex-AIG employee files lawsuit vs troubled firm

NEW YORK (Reuters) - A former employee of American International Group Inc (AIG.N) filed a lawsuit on Tuesday against the troubled insurer, claiming they lost money from the company's pension plan investments in AIG stock.

The lawsuit filed in U.S. District Court in Manhattan by a resident of Long Island, New York, said the AIG Retirement Board and the board of directors made "false and misleading" statements to plan participants about exposure to subprime mortgages from 2006 to 2008.

It said "at least some of the defendants had actual knowledge of AIG's corporate malfeasance and questionable reporting and business" and breached their fiduciary duties.

"Defendants participated in each other's failures to prudently manage the plan's assets and knowingly concealed such failures by not informing participants that the plan's holdings of AIG stock were not being prudently managed," the lawsuit said.

Representatives for AIG could not be immediately reached. The company usually does not usually comment on lawsuits against the firm.

The suit, filed at a time when the market fears the insurance giant may file for bankruptcy, identifies the plaintiffs as Wanda Mimms on behalf of herself and others similarly invested in the plan.

A collapse of AIG would hurt many of the world's biggest companies across virtually every business sector. AIG is also a major player in the $62 trillion market for credit default swaps.

(Reporting by Grant McCool; editing by Jeffrey Benkoe)