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Daily Insurance Industry News
Friday 19th of March 2010
December 18, 2008

Lawsuit: AIG bailout illegal and anti-American

by David Masters

Story link: Lawsuit: AIG bailout illegal and anti-American

A Christian rights group in America has filed a lawsuit against the US Treasury to stop bailout funds going to troubled insurer AIG (American International Group).

The Michigan-based Thomas More Law Center (TMLC) brought the lawsuit on the basis that government ownership of AIG violates the US Constitution, and means that the state is funding America’s destruction.

According to the group, the $40 billion loan made to AIG in September is illegal because the insurer promotes Shariah law.

Where AIG operates in Islamic countries, its risk management products are Shariah-compliant.

Under Shariah law, western models of insurance are illegal.

As such, AIG offers Islamic insurance, known as Takaful.

TMLC – which claims to promote America’s heritage – says this is anti-Christian and anti-American, and that to fund it violates the First Amendment of the US Constitution.

Under the First Amendment, the US government is not allowed to favour one religion over another.

The group also argues that by bailing out AIG, the government is using federal tax dollars to advance the cause of global jihad.

If TMLC wins the lawsuit, a court order will be granted to stop government funds being given to AIG.

Legal experts predict that the lawsuit will be quickly dismissed.

 

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