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A consortium of California worker and consumer advocacy groups yesterday demanded that the state investigate their claims that American International Group has defrauded the state by denying care and payments to injured workers.

At a news conference outside the Los Angeles office of Gov. Arnold Schwarzenegger, the groups–including the Foundation for Taxpayer and Consumer Rights, the Consumer Federation of California and VotersInjuredatWork.org–accused AIG of cheating the state and injured workers out of millions of dollars.

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