Cummings, however, has rejected AIG's contention that the conference was a legitimate business expense and described it as a party. He told Liddy that "you have decided to continue to hold corporate parties as if nothing has fundamentally changed with your business."
Cummings termed the event "(e)ven more shocking" in light of AIG's request for more taxpayer aid at about the time the event was taking place.
A company spokesman had no comment on the Cummings' letter.
During a hearing last month of the House Oversight and Government Reform Committee, at which details of a $440,000 AIG junket at a posh California resort surfaced, Cummings lit into company executives.
Two days later, the company announced "immediate cancellation of all outside meetings, conferences and recognition events across AIG, except those that are required by law or that are deemed absolutely critical to sustain our ongoing business needs," Liddy said in a statement.
This week, the government expanded and restructured the AIG aid package, giving the firm more time to repay taxpayers and lowering the interest rate on the loan. AIG, once the world's largest insurance company, came close to collapse in September as a result of bad investments tied to subprime mortgages.
In its report on last week's conference, the Phoenix station said AIG executives were drinking coffee at poolside meetings and working out at the hotel's spa while other attendees were attending seminars in hotel conference rooms. The station also reported that six executives dined at a nearby McCormick & Schmick's restaurant and paid more than $400 for drinks, appetizers, and meals.
According to the station, retired Pittsburgh Steeler quarterback Terry Bradshaw was originally scheduled to appear as a motivational guest speaker. Bradshaw's appearance was canceled shortly before the conference began, the station reported, quoting an AIG spokesperson.
