Editing PwC (section)

===American International Group Inc.===
In 2005, ''BusinessWeek'' reported that PwC was [[American International Group]] Inc.'s auditor through AIG's years of "questionable dealings" and accounting improprieties. AIG on 30 March 2005, said that deals with a [[Barbados]]-based insurance company, for instance, may have been incorrectly accounted for over the past 14 years, because an AIG-affiliated company may have been secretly covering that insurer's losses.<ref name="businessweek">[https://web.archive.org/web/20050407205849/http://www.businessweek.com/magazine/content/05_15/b3928047_mz011.htm Tough Questions For AIG's Auditors – Regulators are probing if PwC let the financial shenanigans slip through] Businessweek, Joseph Weber, Mike McNamee, Marcia Vickers and Diane Brady, 11 April 2005</ref> ''BusinessWeek'' said that PwC also appeared to have "dropped the ball" on the deals between AIG and [[Berkshire Hathaway]] Inc.'s General Re Corp. General Re transferred $500 million in anticipated claims and premiums to AIG. ''BusinessWeek'' asked: "Did the auditor do its job by verifying that AIG was assuming risk on claims beyond the $500 million, thus allowing AIG to account for the deal as insurance? That's Accounting 101 in any reinsurance transaction."<ref name="businessweek" />

PwC was also criticised by several witnesses during the 2010 [[Financial Crisis Inquiry Commission]] investigation into AIG's collapse in the [[2008 financial crisis]], after the insurer was unable to fulfil its collateral obligations to [[Goldman Sachs]]. The insurer was expected to cover the difference in value between the [[credit default swap]] contracts it had sold to Goldman Sachs, however, the head of the unit at AIG disagreed with the valuation that Goldman presented. According to a memo published by ''Business Insider'', witnesses wondered how PwC was signing off on the accounts for both AIG and Goldman Sachs when they were using different valuation methods for the swaps contracts (and therefore booked different values for them in their accounts).<ref>{{cite web|date=11 March 2016|title=We just got a new insight into a crucial crisis-era dispute between Goldman Sachs and AIG|url=https://www.businessinsider.com/joe-cassano-on-goldman-aig-dispute-2016-3?r=US&IR=T|access-date=2 June 2016|website=Business Insider|archive-date=8 October 2024|archive-url=https://web.archive.org/web/20241008151755/https://www.businessinsider.com/joe-cassano-on-goldman-aig-dispute-2016-3?r=US&IR=T|url-status=live}}</ref>