Owners of Oppenheimer Mutual Funds from the AIG Advisor Group v American International Group Inc.
Lawyers File Class Action Against AIG for Pushing Funds that Increased Staff Fees
A class action lawsuit was filed in New York on behalf of those who purchased Oppenheimer mutual funds from the AIG Advisor Group, with parent company American International Group Inc as the defendant.
The complaint alleges that the defendants failed to properly disclose that they had been aggressively pushing sales employees to sell the certain mutual fund companies and certain mutual fund families that provided financial incentives and rewards to AIG and its personnel based on sales.
The funds in question included the following mutual fund families: AIG SunAmerica, AIM, AllianceBernstein, American Funds, American Skandia, Columbia, Fidelity, Franklin Templeton, Hartford, John Hancock, MFS, NationsFunds, Pacific Life, Pioneer, Putnam, Oppenheimer, Scudder, Van Kampen, and WM Funds Distributor, Inc.
A lawyer that filed the case states "Instead of offering fair, honest and unbiased recommendations to investors, the AIG Financial Advisors gave pre-determined recommendations, pushing clients into a pre-selected limited number of mutual funds so that the Financial Advisors could reap millions of dollars in kickbacks from the Shelf-Space Funds, with which they had struck secret, highly lucrative deals to profit at shareholders'' expense."
The lawsuit is open to any person that purchased a mutual fund from AIG in the following companies: AIG SunAmerica, AIM, AllianceBernstein, American Funds, American Skandia, Columbia, Fidelity, Franklin Templeton, Hartford, John Hancock, MFS, NationsFunds, Pacific Life, Pioneer, Putnam, Oppenheimer, Scudder, Van Kampen, and WM Funds Distributor, Inc.
