NEW YORK (Bloomberg) ? C.V. Starr & Co., rooted with American International Group Inc. and still run by ousted Chief Executive Officer Maurice Greenberg, offered a 42 percent premium to buy out current AIG executives who own the company?s shares.

C.V. Starr, a private group of insurance agencies started by AIG founder Cornelius Vander Starr, offered $426 for each share, $126 more than they were sold for last year. AIG, the world?s largest insurer, expects ?most or all? executives will accept, the New York-based company said in a regulatory filing yesterday.

Greenberg, who was removed as AIG?s CEO in March amid an accounting probe, is severing C.V. Starr?s ties as the company seeks an independent future in investing. Thirty-seven AIG executives or officers owned 49 percent of C.V. Starr?s common shares as of March 31, according to AIG.

?It?s another step of cutting ties between AIG and Starr,? said Peter Streit, an analyst at Williams Capital Group LP in New York, who has a ?buy? rating on AIG?s stock.

C.V. Starr spokesman Howard Opinsky and AIG spokesman Chris Winans declined to comment beyond filings filed yesterday and on Monday.

As of March, Martin Sullivan, who replaced Greenberg as CEO, owned 1,250 shares, or 5.4 percent of the company. AIG?s Chief Operating Officer, Donald Kanak, owned 1,000 shares, or 4.3 percent.

C.V. Starr has been in talks with Chinese firms about joint ventures in the financial services, energy and technology industries, Opinsky said last week. Last month the company raised $400 million backed by AIG shares that it holds.

AIG and Greenberg, 80, were sued by New York Attorney General Eliot Spitzer in May for allegedly using accounting tricks to mislead investors.

The company, which reduced five years of net income by $3.9 billion to correct accounting, has pledged to resolve the suit. Greenberg has disputed the allegations, saying much of the restatement was driven by fear of regulators.