WILMINGTON, Del. (Bloomberg)—Former American International Group Inc. top executive Maurice R. Greenberg agreed to a $90 million settlement of lawsuits alleging he deceived investors while running the insurer, according to a court filing.

The insurers that cover AIG's executives agreed to pay the money to resolve claims that Greenberg, the former chief executive officer, and other officials used accounting tricks and fraudulent schemes to disguise problems, according to the filing in Delaware Chancery Court. The money is being paid to AIG and not individual investors as part of the agreement.

The settlement in the case, a so-called derivative suit filed by investors against executives and directors on behalf of the company, comes a month after AIG agreed to separately pay $725 million to investors who lost money amid the company's share decline. In 2008, AIG accepted a U.S. government bailout that has swelled to $182.3 billion.

“We are pleased this matter has been satisfactorily resolved,” Mark Herr, an AIG spokesman, said in an e-mail.

AIG said in November that it settled all legal disputes with Mr. Greenberg and would reimburse as much as $150 million in fees. Mr. Greenberg and the insurer agreed not to make disparaging statements about each other.

Lee Wolosky, a lawyer for Mr. Greenberg, didn't immediately return call and e-mail seeking comment.

World's largest

Mr. Greenberg, 85, built AIG into the world's largest insurer over almost four decades until he was forced to retire in March 2005 amid state and federal probes into a reinsurance transaction. Lawsuits have kept AIG and its former top executive in court since his departure.

Former New York Attorney General Eliot Spitzer sued Mr. Greenberg in 2005, alleging he misled regulators and investors. Mr. Spitzer dropped portions of the suit in 2006, and Mr. Greenberg asked a court to dismiss the rest. The New York suit is unaffected by this settlement, Mr. Greenberg's lawyer, David Boies, said in an interview.

AIG restated earnings and agreed to pay $1.64 billion to settle claims by Mr. Spitzer and other regulators, without admitting or denying wrongdoing. In court papers filed in July 2006, Mr. Greenberg argued AIG's 2005 restatement was unnecessary and designed to force him to retire. He denied any wrongdoing in the New York civil suit.

The Delaware case is American International Group Inc. Consolidated Derivative Litigation, CA769-VCS, Delaware Chancery Court (Wilmington).

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