April 2, 2009 / 5:28 AM / 10 years ago

AIG problems not his fault, says Greenberg - WSJ

April 2 (Reuters) - Maurice Greenberg said he was not responsible for problems at American International Group (AIG.N) since they occurred after he left, the Wall Street Journal reported citing an interview with the former chief of the company.

Greenberg, who left as the company’s chief executive in 2005 following an accounting scandal, is scheduled to appear before the House Committee on Oversight and Government Reform on Thursday.

In a report posted on its website, the paper reported that Greenberg will argue for pressuring AIG’s trading partners, which include large U.S. and foreign banks that received large payments due to the insurer’s bailout, to invest that money back into AIG.

Greenberg will also call for slimming down the government’s stake in the insurer to 15 percent from the current level of nearly 80 percent in a bid to attract private investors, the Journal said.

The former CEO has sought to distance himself from the problems leading to the stunning losses at AIG, which has led to as much as $180 billion in taxpayer funds being used to prop up the company.

AIG and Greenberg remain locked in various legal disputes and Thursday’s testimony will mark Greenberg’s first public appearance under oath since the insurer’s bailout in September. (Reporting by Vikram Subhedar in Bangalore; Editing by Hans Peters)

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