The Eliot Spitzer juggernaut rolls on. International insurer Ace has come under the spotlight of the New York Attorney-General over its use of eight finite reinsurance contracts.

Ace President and CEO Evan Greenberg says the Bermuda-based insurer will restate more than five years of financial results in a bid to correct some dodgy accounting results.

Mr Greenberg’s father Maurice, 80, is under investigation after resigning as CEO of No 1 insurer AIG, and his brother Jeffrey resigned as CEO of Marsh & McLennan last October. Both are victims of the Spitzer investigations.

Evan Greenberg says Ace “found accounting problems in a number of transactions and we regret that. We are fixing those problems. We have also put in place strict procedures to assure that this does not happen again.”

Ace said in a statement that the decision to restate the results – which will result in a net increase in shareholder equity of about $US1 million – was based on an independent internal investigation and re-evaluation of the finite deals.

All of the contracts in question originated before 2002. Two are still active.

Mr Greenberg says Ace has informed the authorities of the findings of its independent investigation and it will “continue to respond to all appropriate regulatory authorities”.