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January 11, 2005

Warren Buffett, meet Eliot Spitzer

General Re Corp., the wholly-owned insurance subsidiary of Warren Buffett's Berkshire Hathaway Inc., has been receiving some interesting mail lately.

Berkshire issued a press release on last week (see Form 8-K announcement here) disclosing that the insurer had received subpoenas from the SEC, New York AG ("Aspiring Governor") Eliot Spitzer, and a grand jury in the Eastern District of Virginia.

Expect Mr. Buffett to push for a global settlement quickly. Descriptions of broad and uncontrollable criminal investigations are a bit difficult for Mr. Buffett to explain in his his annual letter to Berkshire shareholders.

Besides, Mr. Spitzer could use Mr. Buffett's political support in his upcoming political campaigns. ;^)

Posted by Tom at January 11, 2005 7:09 AM |

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