Bank policyholders suing the New York Insurance Department (NYID) and MBIA Inc. say new documents made available to the public show MBIA senior executives concealed critical information from the NYID about the size of future losses at MBIA Insurance Corp.

The lawsuit claims the $5 billion restructuring of MBIA Insurance into two subsidiaries — MBIA Insurance Corp. and National Public Finance Guarantee Corp., which were approved by the NYID and its former superintendent Eric Dinallo — was fraudulent. The restructuring took place after MBIA Insurance Corp. lost its triple-A ratings in the financial crisis.

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