Napier, who has pleaded guilty to conspiracy in the case, testified for the government for three days, outlining how the transaction developed, using dozens of e-mails and recorded phone conversations among the defendants.
Reid Weingarten, a lawyer for Monrad, challenged Napier’s recollections of the deal and his truthfulness. Napier earlier testified, for example, that he attended a meeting at AIG’s New York headquarters sometime in November or early December 2000 with Monrad and former AIG Chief Financial Officer Howard Smith. According to Napier, the purpose of the meeting was to emphasize to AIG that Gen Re would account for the transaction as a deposit, indicating that Gen Re did not view it as transferring risk.
However, after lengthy questioning by Weingarten, Napier conceded that he knew of no meeting notes, e-mails, corporate car service records, building security sign-in sheets or other evidence showing that the meeting ever occurred. Weingarten asked Napier, “Isn’t it true you made it up to curry favor with the government?” Napier said no.