White House Seeks "Mechanisms" To Recoup AIG Bonuses

[sabra]

Source: CBS News

As the outrage over $165M in recent bonuses paid to American International Group executives continues to grow this morning, CBS News White House correspondent Peter Maer reports that the administration is looking for ways to recoup at least some of the money.

An official tells CBS News that the administration continues to negotiate with the insurance giant to bring any payments "in line with our priorities."

"It is unacceptable for Wall Street firms receiving government assistance to hand out million dollar bonuses, while hard-working Americans bear the burden of this economic crisis. That is why Secretary Geithner has made it clear to AIG that their bonus structure for senior executives is inappropriate," the official said.

The official said the bonuses have "long been known about inside and outside AIG" but that the administration didn't want to accept them.

The White House now is seeking what are described as "mechanisms" to recover money spent on bonuses, the official said.

Read more: http://www.cbsnews.com/blogs/2009/03/16/politics/politicalhotsheet/entry4868080.shtml

[MrPerson]

1. Guns, handcuffs and jails work pretty good.

[nykym]

5. Yea! and if

they want to avoid jail time the fine is $1.00 less than their bonus!

[L. Coyote]

2. Tax the rich!!

[Possumpoint]

3. As Suggested On Another Thread

Taxed at 98.9%.

[Abq_Sarah]

4. Gee, if Washington knew about the obligation to pay

Those bonuses, maybe they should have laid down some obligations of their own before they started hurling money at AIG. It's a little disingenuous to be crying about it now that it's been made public, seeing how they knew about it all along.

[jody]

6. AIG et al should have been in bankruptcy court years ago to prevent CEOs from pillaging

their corporations assets.

As a minimum, CEOs appear to have breached their fiduciary responsibility.

We the People must insist upon new draconian laws to avoid future debacles like these and if one occurs, make it easy to seize 100% of a CEO's personal assets and any assets she/he might have given to others.

[aquart]

7. Iron maiden? The rack?

Have we decided not to go with torture...or just this one last time?