(Bloomberg) — Maurice “Hank” Greenberg, the former chairman ofAmerican International Group Inc., will go on trial in Januaryafter more than nine years of legal jousting over former New YorkAttorney General Eliot Spitzer's lawsuit accusing him of fraud.

The state claims Greenberg, 89, and former AIG Chief FinancialOfficer Howard Smith bear responsibility for allegedly shamtransactions with General Reinsurance Corp. in 2000 and 2001 thatinflated AIG's loss reserves by $500 million.

New York State Supreme Court Justice Charles Ramos in Manhattantoday scheduled a trial to start the week of Jan. 19 after the twosides exchange lists of potential experts and witnesses.

New York Attorney General Eric Schneiderman is seeking to barthe men from participating in the securities industry or serving asdirectors or officers of a public company, after his office haddropped a claim for damages.

Matt Mittenthal, a spokesman for Schneiderman, declined tocomment on the trial date today in an e-mail.

Greenberg stepped down as AIG's chief executive officer in March2005, the same month the New York-based insurer said thetransaction with Gen Re was improper. He had led the company since1967 and built it into the world's largest insurer.

AIG paid $1.6 billion to settle regulators' claims. Spitzer suedGreenberg and Smith in May 2005.

Greenberg unsuccessfully argued that the lawsuit was fatallyflawed after a court approved a $115 million settlement of ashareholder class-action lawsuit against him and Smith. He has saidthe state's claim are without merit.

David Boies, an attorney representing Greenberg with Boies,Schiller & Flexner LLP, declined to comment after today'shearing.

The case is State of New York v. Greenberg, 401720-2005, NewYork State Supreme Court, New York County (Manhattan).