what if hank greenberg wins this lawsuit.n up to shareholder lawsuits who will say they lost out on that payout and hank greenberg just one? >> that's a possibility. we made a conscious decision that says that the probability of that happening, the cost of the company's reputation now to proceed would not be in the shareholder's best interest, and i believe the shareholders will be better off by the company doing bert over time and not faced with all these headwinds of reputation in the past. the past will bring us down and if we continue to grow this company successfully and get the morale to improve and do the right things for our customers, i think the shareholders will be better off so that's really the conclusion of the probability of success. how much of that would go to the existing -- the shareholders at the time versus the existing company. i think in the end we made a good trade, and the trade is on for the credibility of the company and going forward. it's not acceptable socially for aig to have taken this money an

hank? mm. ambitious, "master of the universe" type. law student. what's hank's last name?lips. i don't know what became of him. danny didn't deserve what happened to him. and even though i'm the one who got her heart broken... danny wasn't cruel. the world was. the story is tinkerbell had a nipple ring. way ahead of his time with that. anyway, in one of his many ass kickings, a guy took a knife and tried to slice that ring right off. but there's a happy ending. tink got the nipple reconstructed for free at the va hospital. a doc there wrote it up as a combat wound she got fighting in korea. so, tinkerbell was in the army? jeffries: you know this doc's name? or tinkerbell's? but that old queen sure got beaten up a lot. someone at the va may know her real name. thanks for your time. vera should be finding true love right about now. back in '64, tinkerbell came forward voluntarily. wanted to talk about being assaulted. tinkerbell's not a joke. so far she's our most promising lead. i got another one-- from the law school alumni office. you found hank? oh, yeah. still lives in

. >> hi, my name is ed dunn the executive director of the hank recycling center. the eviction of the hank recycling center might be the elephant in the discussion today. they have been serving the haight-ashbury richmond area since the bottle bill started in the late '80ed. when it closes very soon, those zones and little stores are going to be impacts in the way that was described today. it's no coincident unfortunately former mayor unanimous formulated to get rid of the center. the om one that the city had control of was the one on park and rec land. there is a letter written to the commission that says stores will be able to pick up the slack and reference to the reverse vending machine toil. the stores can't pick up the slack and the reverse vending machine technology is really in its infancy and if you talk to the companies that operate it, they say if it gets too well-utilized they have switch to staff and it it's not, they have to switch. we need to get back up to 30-50 locations in the city where people could use and redeem their bottles and cans back. the

but he seems to be taking a very different approach. >> jennifer: hank i want to play a sound bite.e a listen. >> obama: our journey is not complete until all of our children from the streets of detroit to the hills of app lay cha to the lanes of newtown know they are cared for and cherished and always safe from harm. >> jennifer: i think he takes his role as a protector and chief very seriously. but he also signaled how he is going to deal with congress. what do you think it really signals about what he is going to be able to get done in congress. >> i'm happy he loves children, but he wants the house back in 2014. >> jennifer: that's a political statement. >> i can't help it. he vested everybody by giving up a lot, the negotiations are already over because they conceded, and now on guns he is trying to position the republicans way out there so they can look like the victors. >> jennifer: yeah, i don't think he has to try very hard to out position guns. if it has anything involving banning assault weapons or whatever. the republicans are going to oppose it. >> this was over the edg

hank and ben treated him like staff. he had been elevated for all the wrong reasons and had every expectation tim would continue his citigroup friendly policy." did he continue the citigroup friendly policy and did they make out better with him as secretary? >> there is no question. the government was quite generous. just about every mistake in the book -- >> bob rubin was worth millions and never punished in any way. >> i don't get it. he shows up in conferences and in -- i can tell he never really accepted responsibility for any of this. he helped create the beast and he was secretary of the treasury and to go become the chairman or executive chairman -- a beneficiary of this major change, it was terrible. >> another piece you were involved in, suzie ormann and sheila bair. >> ever lose one of these? everyone has except those whose money is in the fdic. good to know in times like these. here's the question. do you know if your money is safe and sound? go to fdic -- and the more you know, the safer your money. >> first

a lawsuit started by hank greenberg. disgraced former ceo of aig who was forced out by the board in 2005 after allegations of fraud and who is currently suing the u.s. government on behalf of aig shareholders for $25 billion. their claim, that the terms of the free bailout money they received were unfair. not enough of the free money benefited the shareholders who would have had nothing had the government not bailed them out. and just allowed them to declare bankruptcy. instead, the taxpayer money was used to pay the wall street clients who held policies with aig, the ones they made promises but couldn't keep. so that very same aig that only exists today because you and me, we the people, the taxpayers gave them $182 billion in a bailout, is now suing us because their shareholders missed out on additional profits to. quote senator elizabeth warren... >> john: this would be like the french suing because we left a few divots in the sand at arm andy. joining us is ceo of better markets, dennis kelleher. good evening. thank

hank greenberg. >> jon: noo! hank greenberg! all right not necessarily jewish.e could have changed his name from stuart. [ laughter ] by the way, i've never seen a man closer to saying the words release the hounds. [ laughter ] interesting side note, maurice hank greenberg is not only suing the u.s. government for so rudely saving his company, he is also attacking them in a new book set to be punished january 29. it's the exact same day that i'm releasing my book which is is called "don't buy maurice greenberg's (bleep) book." if you buy only one book this year about the stupidity of a book make it" don't buy maurice greenberg's (bleep) book." >> it's a ludicrous argument. >> talk about the hand that feeds you. >> they had a choice. they could have gone bankrupt they took our cash. >> i was stunned about. this i think it's crazy. >> jon: let's rein it in here. what aig shareholders are doing is objectively all of, but shock, surprising? aig, they put the a in (bleep). [ laughter ] don't you remember what happened right after we gave them the bailout money in 200

does hank greenberg's argument have validity?, this has worked its way through the judicial process already, through the judicial system. hank greenberg -- this lawsuit was thrown out by one court. it was then appealed to another court, and the second court has said you have to go to the board and see if they want in on this. it's a serious case. david boies, who we know is representing the shareholders, they sequestered -- they requested 16 million documents. they've since reduced that to about 10 million. but they're trying to determine the relationship that the united states treasury had with aig to see whether they knew of what was going on beforehand going all the way back to 2005. so it's not a penny ante lawsuit. it's -- >> could aig have not taken the lifeline? >> no. no. if aig didn't take the lifeline, aig would have gone under. and the consequence of aig going under is that aig insures every airplane you ever fly on. they insure every business that takes place in the world. this would have really brought the planet to

greenberg hank greenberg who is the c.e.o. who's the sort of chess player behind this lawsuit so yeah i worked. for a few years and got along quite well there actually so what's your initial reaction of the story. first of all this goes back to a suit that greenberg filed about a year ago because he was forced to step down by eliot spitzer over some allegation accounting allegations but he filed he still owns a lot of stock and he filed a lawsuit about a year ago and my first reaction was i just couldn't stop laughing because here is you know one of the toughest guys described as the meanest boss of in america by forbes magazine i think any filed a lawsuit that said that the government and the federal reserve use this as an opportunity to bail out their friends on wall street like goldman sachs so my first reaction was to laugh and say oh hanks join the ninety nine percent now but what he's done is actually very shrewd because he's place the board of a i j in a very difficult position where if they don't consider joining and h

chris middleton, hank smith, thanks gentlemen. >> thank you. sandra: fed chief bernanke is about to answer questions at the university of michigan. we will let you know what he's saying about our economy and the future fed action. as we know that can be market moving. this event could move the markets tomorrow. david: that's a live picture coming out of michigan. we will be going right back there. also the news of apple cutting down orders for iphone parts is driving the stock way down again today. we have an apple analyst who cut his price target by 150 bucks back in december. does he think it's also time for the company to cut their ceo tim cook? sandra: shares of dell soaring on talk of a buyout. more on both tech stories coming up. keep it right here. ♪ ♪ [ male announcer ] this is karen anjeremiah. they don't know it yet, but they' gonna fall in love, get married, have a couple of kids, [ children laughing ] move to the country, and live a long, happy life together where they almost never fight about money. [ dog barks ] because right afte

. >> next hour, hank greenberg, former ceo of aig. >> numbers from amazon as soon as they hit the tape as well. so what scares you out there? everybody says the market is overbought. yeah, so. sentiment is still good. what scares you? >> you know, the market may be overbought, but there's still more room on the upside. i think it's going to be a very, very narrow trading range. i don't think there's a high risk to put in your money now. i don't know if the return is -- you may have looked at a 20% return, you know in, september of last year. now we might be looking at a 5%, 10% return. risks are now muted. i don't real very any fears. i don't see anything on the horizon. >> how long can the market continue to go up if apple doesn't participate at all? >> still the market is going to go up. apple is a big nasdaq number, but as far as the s&p, it's not in the dow. s&p 500 stock but that's well weighted for everybody, so i don't think it's that big a deal. >> all right. there's the bell, peter. thank you. amazon numbers out momentarily. maria and our expert team will break them all down f

hank greenberg, you interviewed him on fox business. he is essentially saying, look, this turned into a backdoor bailout for other wall street companies. we have a right to sue based on fifth amendment rights. the government is not allowed to take private property for public interest. here is what he said on fox business. >> as far as i'm concerned that bailout should never have taken place. the way it did take place was wrong. aig was used as a backdoor bailout for many others. >> reporter: and those many others include sachs and others. they are saying they did have a choice and that was bankruptcy. aig is saying it may decide by the end of the month to whether or not to join the lawsuit filed by hank greenberg. it's saying it has to hear out on his lawsuit, that is the if i deesh year duty and it might have other lawsuits. >> neil: what wall street is seeing a trend, you bail and you get better get ready for hell? >> let's take stock where aig is. record amounts plot of built in the last couple of quarters. revenues are up big time.

but hank is going back saying the shareholders paid way too much for that loan. and the government's response was you wouldn't be here if it wasn't for our loan. that's the argument and we feel we shouldn't pe part of that. >> but greenberg is not backing dune and he is being represented by david boies. he will join us live at 8:00 a.m. eastern. if you read the journal, you can i wouldn't read why the -- >> the board of directors was unanimous, though. >> right. but if you were a former aig ceo or if you were a former shareholder, you might -- >> it will be interesting to see. they are going to continue to pursue the case, it was knocked down in new york and continues on in d.c. but if they win, it will be more interesting. >> even gm, which benefited from the government, you can see that they're chafed at being part of government motors in recent months. and i think aig, these guys would never admit it, but -- >> blame the former board directors. blame the people -- why aren't they suing the company, suing aig instead of -- >> they didn't accept it, it was force

tonight at 6:00 we'll hear from neighbors on both sides about the end of an era for hank. in golden gate park abc 7 news. >> time to check forecast now. >> yes. spencer christian is here with that for us. >> we had lots of fog around. but it cleared out nicely foremost of the day. now, looking atd live doppler 7 hd, you can see clouds off shore, there are clouds moving in our direction but mainly clear skies. at the moment temperatures into the mid-50s to lower 60s into the milder locations. over next 24 hours here is what we can expect. mainly clear skies but patches of fog develop late tonight and during overnight hours, so there will be areas of fog around in early morning hours. temperatures from upper 30s to upper 40s. by afternoon, we'll see clouds thickening and a chance of showers. we're not talking about heavy rainfall but wet in spots. showers in afternoon hours. temperatures from about 54 to about 56 degrees. then, colder air coming our way. i'll show how cold it's going to be in the accu-weather forecast. larry, and carolyn? >> still ahead on abc 7 news at 4:00

. >> i'm tom hanks. detective with the indiana state police. >> demetrius burks gets more bad news. right in the old bucket. good toss! see that's much better! that was good. you had your shoulder pointed, you kept your eyes on your target. let's do it again -- watch me. just like that one... [ male announcer ] the durability of the volkswagen passat. pass down something he will be grateful for. that's the power of german engineering. ♪ back to you. woman: what do you mean, homeowners insurance doesn't cover floods? [ heart rate increases ] man: a few inches of water caused all this? [ heart rate increases ] woman #2: but i don't even live near the water. what you don't know about flood insurance may shock you -- including the fact that a preferred risk policy starts as low as $129 a year. for an agent, call the number that appears on your screen. my name is taho and i'm a fish guy. it's a labor of love. it's a lot of labor and it's a lot of love. i don't need to go to the gym. my job is my workout. you'

rush: helen, this is hank. you're the boy who ran out of the room. i guess so. hank. any progress? we've got at least one person of interest. who's that? local thug in the neighborhood. told a story about throwing chinese leftovers at gay men out on the street. you talked to that man? yeah. you wanted to know about danny. in many ways, danny was a man of his time. he lied about his life to some people. to you. in other ways, danny was ahead of his time. how? he didn't hate himself. somehow, he knew he had a right to exist. you haven't told them, have you? my parents? you crazy? no way, huh? if they even suspected i was rooting for the phillies against the braves, i'd be dead to them. i could never go home again. hey, guys... ladies. how's it goin'? here's a little chinese for you. i hear faggots like chinese food. ( laughing ) hey! forget it. no, i want to see their faces. hey! forget it. officer... come on, danny. officer. danny was brave. i wasn't. what happened after the chini went home, uh... danny came over later, and we fought. he stormed out obviously went to the hush room,

hank greenberg says, wait a second, there is more to this story.ur very own neil cavuto this turned into a back door bailout for wall street. take a listen to what hank greenberg told neil cavuto. >> as far as i'm concerned that bailout should have never taken place. >> really. >> the way it did take place was wrong. aig was used as a bailout, as a back door bailout for many others. >> what he is referring to there is goldman sachs, deutsche bank and societe generale. aig's board, telling fox business it is the board's fiduciary duty to consider hank greenbergs lawsuit. melissa: they have to consider it. doesn't mean think will join in. this is hank greenberg who has been disgruntled for a long time. it is important to separate this out. >> they have to hear him out because it could expose the board to more shareholder lawsuits. there are no merit to the allegations that aig had alternative bankruptcy. melissa: emac, thanks so much for that report. it is quarter to. as we do every 15 minutes let's check the markets. nicole petallides is on the floo

oh hank? something's bothering bullet, he's trying to tell us something.w him. now fellows chances are, we'll meet jim on the way. if not we'll wait for him at the old river bed, he's got the information we want. when we get it, we go to work. let's ride! ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪ is that two riders? yeah, looks like jim and somebody else. well that's funny. say it looks like jim got himself a woman. what's he want to get a woman mixed up in this for? well you know jim boss, always a ladie's man. yeah but this is no time for a thing like that. come on let's go. ♪ whoa! we'll wait here. ♪ ♪ ♪ who's the gal? she followed me here so i thought i would bring her along. are you crazy? what do we want with a woman? now wait a minute rusty, she knows too much. so do those two strangers the sheriff chased into our town. what do you mean? it's a frame. there never was a stage hold up. those two men are working for the law. take 'em boys. don't any of you go for your guns, turn around. go ahead dale. come on pat. ♪ ♪ ♪

david duchovny in "californication." >> this better not be an intervention. >> yes, hank, it is.bstaining. >> exactly this is about you finding your way back to being the functional alcoholic that we all know and love. >> we miss that guy, hanky. >> it's true, dad. you used to be such a good drunk and now you're just disgusting, and bloated and smelly. >> thanks for that, daughter. [ cheers and applause ] >> jimmy: we -- we shouldn't have done all that bleeping. >> my daughter is actually here tonight. she came with me. >> jimmy: your daughter is gorgeous. >> my daughter west -- >> what? >> jimmy: cute. >> all right. >> jimmy: very adorable, and her friends are with her, too. >> her name is west and she said "be funny okay, you know, or i'll bring shame to the family." so please laugh, even if it's not funny. [ cheers and applause ] >> jimmy: very funny. >> thank you. thank you. >> jimmy: we like to play games on our show. >> yeah. >> jimmy: fun little games, and i'm going to ask you if you would like to play it before i tell you the name of the game. would you like to play it? >

they aren't necessarily because the original lawsuit was brought by hank greenberg, who is no longer the ceo of the company. explain that to us. >> sure. so hank greenberg, who leads starr international, the plaintiff who is prosecuting this derivative lawsuit now, is prosecuting a lawsuit, one was in new york. that got thrown out. now there is one left in d.c. here in federal court, for $25 billion, saying that when the company came in and saved everybody's life and everybody's jobs it did it inadequately without fair due process and adequate compensation. there is a board meeting with where starr and hank greenberg advocates the board to intervene and jump into the case and some individuals from the government saying don't do that, that's crazy. melissa: do they have a case? point that he makes as crazy as this whole thing sounds on its face the point that he makes sort of resonates that aig was used as a back door way for the company to bail out kinds of other companies because there were so many other companies that would have gone down if aig went down. that this is sort of thei

here is hank greenberg on that end.. >> as far as i'm concerned that bailout never should have taken place. and the way it did take place was wrong. aig was used as a bailout, as a back door bailout for many others. >> reporter: those many other the board has to take up considering whether or not to join its lawsuit. it's telling fox business it will do so. it could face other share older lawsuits without even considering whether to join the suits. take a look at what the new york fed is telling fox business about the merit of this lawsuit. they are saying there is actually no merit to the allegations. aig's board had an alternative choice, bankruptcy and the federal reserve's action helped restore. they will be deciding whether or not to join hank greenberg's lawsuit against the government. jon: they may have a point. you convinced me. thank jew jon i'm sure you remember 20,000 leagues under the sea, who can nor get that, right? ha look at the real life wreath that you are might have inspired what we've tauld a tale fo

but we just came from haunted hank's, and it was sold out. wait, hank's was sold out?ldn't make up his mind. that's you. think marcus, think. i've got it! i can be a chicken dressed as a vampire! i'm count chickula; i want to peck your face. finally, marcus! we'd be a little bird heavy, but i think it's pretty cool. (growling and howling) what do we have here? bearwolf the werewolf, son! nice man, where'd you get your costume at? i got it at a sidewalk sale down the street, this tail was only a quarter. only 25 cents? marcus, we should go. what do i need to become chickula? maybe a beak, pants, you already have a bunch of hats. oh, a cape. annie, i made a list of 26 possible costumes would you like to hear them alphabetically, or sorted by creature? gilda, i don't need a list i am a brilliant dresser. you certainly are, annie, i just thought you'd like a list. francine loves my lists. gilda, darling, today we do things my way. come on, loosen up a little, huh? there you go, that's the spirit, come on, let's look at something else. oh my, this is the one. you see that?

the lawsuit hank greenberg -- >> they said that many times. >> 14.5%. of people watching might say all right, if i didn't know it was aig and it was me i would think that was a loan shark rate but just looking at the effective rate at that time to even borrow money for companies rated poorly but not horribly, companies in better shape than aig, they were borrowing at 18%. the way i see it is 14.5% was a steal. what do you mean, you didn't get just compensation? >> i'm a taxpayer, too, and i didn't like bailouts. i didn't like this one. it certainly smells bad. it certainly seems ungrateful to taxpayers that there's this lawsuit. but let's look at what they're basically alleging. the shareholders are saying look, we weren't actually -- we might have come out better in bankruptcy if we had gone through a formal bankruptcy hearing, our shares might have been worth more than they were in this case, and that they never really actually got to vote on this because the government took over 80% control of the organization. so that's the allegation, that sharehol

c-span: what is in hank paulson, secretary of the treasury had been head of goldman sachs? and i tim geithner, secretary of treasury had been head of the new york fed? what he saw that name and if you're authentic and income is that good or bad as the public? >> guest: this could in some bad things. the good thing when you're in the midst of a financial crisis, and there is some benefit to having folks who come from these wall street institutions. obviously goldman sachs is a wall street institution. the new york fed is regulator that fits in new york city deals on a daily basis of the large commercial bank. commercial bank sat on tim geithner sport, jamie diamond at jpmorgan chase. c-span: if i worked at the new york fed come up with a check from the federal government? >> guest: is an interesting question if it isn't clear about. preservice part of of the federal government. the new york fed is this quasi-public institution that served in litigation when they were trying to be back disclosure requirements under the freedom of information act. obviously they're involved in

what is interesting, the former aig chief hank greenberg said, wait a second.nt rights. starr international is a investor in aig. he says they took private property for public use. this became a back door bailout for goldman sachs. ashley: that's right. >> and for deutsche bank and societe generale. ashley: the interest rate for aig a lot higher than -- >> new york fed by the way saying there is no merit to the allegations. aig had alternative choice, bankruptcy. big fight going on. sandra: it continues. liz macdonald we'll continue to follow that story. ashley: thank you, emac. mcdonald's getting a name change. sandra: huh? ashley: we'll tell you where. in a minute, bruce. good day. ♪ . music is a universal language. but when i was in an accident... i was worried the health care system spoke a language all its own with unitedhealthcare, i got help that fit my life. information on my phone. connection to doctors who get where i'm from. and tools to estimate what my care may cost. so i never missed a beat. we're more than 78,000 people looking out for more than

hank greenberg filed suit on behalf of shareholders asking for $25 billion in damages. he alleges the terms of the bailout were too harsh, including 14.5% interest on its initial loan. but columbia law professor jack coffee does not think the suit will be successful: >> i think its a longshot suit, he has alleged very specific facts, that the federal government was seeking to take over a.i.g. and run it for the best interest of others and not its shareholders, but it is very, very rare that a federal court will allow a derivative action to proceed against third parties. >> reporter: a.i.g. was legally obligated to consider joining the suit. but today's board meeting comes on the heels of a new high- profile compaign, in which a.i.g. expresses gratitude for the bailout. >> thank you america. thank you america. thank you for the freedom to ensure a brighter future. >> reporter: and that's what the public wanted to hear all along. erika miller, "n.b.r.," new york. >> susie: robert doll, chief equity strategist of nuveen asset management says he's "moderately positive" on t

hank greenberg knows how to complain, and vociferously. the new york fed itself said that, you know what the option to this was? you go bankrupt. >> that is exactly what the new york fed said. there is no merit to the allegations. but, you know what, the interesting sidebar to this was what hank has been saying since 2011 when he filed these lawsuits. his investment vehicle, look, the problem is that aig was used as up -- there is a response. he is saying, wait a second. used as a backdoor bailouts for goldman, a deutsche bank, and general. it is an interesting position to take because what happened was, your member in that dark days of september 2008 when a add g collapsed. the thinking was of the treasury secretary tim geithner said if aig folded, collapsed, the world economy would bein dire straits. the u.s. economy would be in dire straits, and the retirements would direct. it needed to bailout. and what happened was, behind the scenes, yes tall wall street firms, lot of money out of aig to settle derivative contracts. by the way, erot