Company: MBIA Inc

NEW YORK (Reuters) - Investor David Einhorn built his reputation as a hedge fund industry superstar through targeted presentations that took on companies like Lehman Brothers, MBIA <MBI.N> and Green Mountain Coffee Roasters <GMCR.O>.

NEW YORK (Reuters) - Of the 18 banks that challenged bond insurer MBIA's restructuring in 2009, only two -- Bank of America and Societe Generale -- remain. On Monday, unless there's a last-minute settlement this weekend, they will finally go to trial in New York State Supreme Court to argue that state insurance regulators should not have approved MBIA's split, which stripped $5 billion in capital from MBIA's crippled structured-finance insurance business.

A judge has ruled that Brian Moynihan must testify in a lawsuit brought by MBIA which claims the bank fraudulently induced it to insure risky mortgage-backed securities.

MBIA hid its financial condition from the New York state insurance department in 2009 when it sought approval to restructure the company, according to Bank of America and two other banks challenging that restructuring.

A lawyer for the banks said MBIA’s chief was “pregnant with inside information” on MBIA’s pending 2009 restructuring when he bought company stock in the months before the announcement. The New York Times reports.

MBIA claimed it has new evidence of "widespread mortgage-origination fraud" at Bank of America's Countrywide unit, hoping to bolster its $1.4 billion lawsuit accusing that unit of fraudulently inducing it to insure risky mortgage-backed securities.

Morgan Stanley said it has reached a settlement with MBIA that will get some risky financial instruments off its books and will resolve pending litigation between the two companies.