WASHINGTON — PSCU Financial Services has won $2.4 million in a lawsuit against AIG after the insurer declined to pay identity theft claims totaling $1.6 million in losses.

After contracting AIG, the company was involved in uncovering a fraud ring that took over approximately 125 accounts, representing more than $1.6 million in losses. The total award represents the original judgments, attorney fees and costs.

"In this situation, we assumed responsibility for immediately covering all the losses for our credit unions and then submitted a claim to our insurance company," PSCU Financial Services President David J. Serlo said. "We feel that justice has been served and we are pleased that we have received full recovery for the losses due to the incident, as well as our attorney fees and other related costs."