New York

The only way taxpayers are going to get repaid for their bailout of American International Group is for Washington to radically renegotiate the terms of the deal and seek recovery from those counterparties compensated in full with federal funds, AIG's former chief executive, Maurice Greenberg, contends.

"If you want to see taxpayers get back the bulk of their $85 billion, you should determine whether the counterparties [to AIG's credit default swaps] shouldn't be partly responsible, after they received 100 cents on the dollar when their securities were only worth 40-to-50 cents on the dollar," Mr. Greenberg said in a speech last week before a packed house of luncheon attendees at The Union League Club.

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