It was Geithner, not Dodd, who protected Wall Street bonuses. Another reason for him to go.

[girl gone mad]

The Faux Dodd Scandal Is Another Black Mark On Geithner
http://www.businessinsider.com/the-faux-dodd-scandal-is-another-black-mark-on-geithner-2009-3">Clusterstock

We feel pretty confident that our initial defense of Sen. Dodd is well founded. By various accounts, it appears that Dodd initially wanted the limitations in, but that it was Obama and the Treasury Department that fought heavily for the clause.

Now we're not necessarily against the clause, which made it so that bonus limitations shouldn't be retroactive. Retroactive limitations are problematic. But it seems that the smears on Dodd may be coming from Treasury as well.

Glenn Greenwald at Salon has a full narrative, and the official word out of Dod's office:

It was Obama officials, not Dodd, who demanded that already-vested bonus payments be exempted. And it was Dodd, not Obama officials, who wanted the prohibition applied to all compensation agreements, past and future. The provision which shielded already-promised bonus payments from the executive compensation limits ended up being inserted at the insistence of Geithner. A spokesperson for Dodd, who is now consumed by these completely unfair attacks, finally confirmed today that these provisions were inserted at the direction of Treasury officials:

Senator Dodd’s original executive compensation amendment adopted by the Senate did not include an exemption for existing contracts that provided for these types of bonuses. Because of negotiations with the Treasury Department and the bill Conferees, several modifications were made, including adding the exemption, to ensure that some bonus restrictions would be included in the final stimulus bill.

This is ridiculous. Why is Sen. Dodd taking flack that should rightfully be heaped on Geithner?

As suggested by a blogger at Firedoglake, Geithner ought to testify on AIG, since he knows more about it than anyone else. But beyond that, it's clear that his role is irreparably damaged. AIG is just one of many issues dogging him, including, of course, his unsteady handling of the banking fix.

Before he was approved by the Senate, we came to the conclusion that his mini tax scandal gave a glimpse into Geithner's character and should've been taken seriously. That's been pretty well vindicated now.

[SlowDownFast]

1. Congress, Obama and Geithner are all complicit.

Regarding Dodd and Congress' part:

Before the Fall, AIG Payouts Went to Washington

http://www.opensecrets.org/news/2009/03/before-the-fall-aig-payouts-we.html

[terisan]

3. Our government is complicit and corrupted. nt

[SlowDownFast]

5. American International Group: All Recipients

American International Group: All Recipients

Dodd, Chris (D-Conn) $280,238
Bush, George W (R-Texas) $200,560
Schumer, Charles E (D-NY) $111,875
Obama, Barack (D-Ill) $107,332
McCain, John (R-Ariz) $99,249
Baucus, Max (D-Mont) $90,000
Kerry, John (D-Mass) $85,000
Johnson, Nancy L (R-Conn) $75,400
Sununu, John E (R-NH) $69,049
Clinton, Hillary (D-NY) $59,515
Lieberman, Joe (I-Conn) $57,900
Rangel, Charles B (D-NY) $53,582
Giuliani, Rudolph W (R-NY) $50,250
Lazio, Rick A (R-NY) $48,600
Ensign, John (R-Nev) $44,569
Bayh, Evan (D-Ind) $43,700
Larson, John B (D-Conn) $43,000
Biden, Joseph R Jr (D-Del) $41,350
Baker, Richard (R-La) $41,032
Torricelli, Robert G (D-NJ) $39,000
D'Amato, Alfonse M (R-NY) $38,750
Carper, Tom (D-Del) $37,213
Bush, George (R-Texas) $34,000
Roth, William V Jr (R-Del) $33,400
Lowey, Nita M (D-NY) $31,800
Smith, Bob (R-NH) $31,750
Shelby, Richard C (R-Ala) $31,250
Reed, Jack (D-RI) $30,600
Castle, Michael N (R-Del) $29,350
Ackerman, Gary (D-NY) $27,750
Grassley, Chuck (R-Iowa) $27,750
Specter, Arlen (R-Pa) $27,450
Gephardt, Richard A (D-Mo) $27,250
Hagel, Chuck (R-Neb) $27,250
Clinton, Bill (D-Ark) $27,000
Foley, Mark (R-Fla) $26,650
Nadler, Jerrold (D-NY) $26,000
Murkowski, Frank H (R-Alaska) $25,700
Zimmer, Dick (R-NJ) $25,397
Crapo, Mike (R-Idaho) $24,500
Kyl, Jon (R-Ariz) $24,400
Dole, Bob (R-Kan) $24,250
Nelson, Ben (D-Neb) $23,200
Molinari, Susan (R-NY) $21,650
Collins, Susan M (R-Maine) $21,542
Dunn, Jennifer (R-Wash) $21,250
Romney, Mitt (R-Mass) $20,850
Bond, Christopher S 'Kit' (R-Mo) $20,750
Farrell, Diane Goss (D-Conn) $20,550
Zeliff, Bill (R-NH) $20,427
Pomeroy, Earl (D-ND) $20,270
Paxon, Bill (R-NY) $20,150
Reynolds, Tom (R-NY) $19,750
Maloney, Carolyn B (D-NY) $19,200
Kolbe, Jim (R-Ariz) $18,550
Crowley, Joseph (D-NY) $18,500
Chafee, Lincoln D (R-RI) $18,150
Berman, Howard L (D-Calif) $18,000
Bennett, Robert F (R-Utah) $17,700
Bowles, Erskine B (D-NC) $17,600
Frist, Bill (R-Tenn) $17,300
Menendez, Robert (D-NJ) $17,000
Hastert, Dennis (R-Ill) $16,549
Gore, Al (D-Tenn) $15,750
Swett, Dick (D-NH) $15,500
Nelson, Bill (D-Fla) $15,412
Frost, Martin (D-Texas) $15,250
Jeffords, James M (R-Vt) $15,250
Corker, Bob (R-Tenn) $15,150
Davis, Tom (R-Va) $15,000
Chafee, John H (R-RI) $14,757
Perlmutter, Edwin G (D-Colo) $14,650
Gregg, Judd (R-NH) $14,500
Portman, Rob (R-Ohio) $14,300
Durbin, Dick (D-Ill) $14,000
Matsui, Robert T (D-Calif) $14,000
Israel, Steve (D-NY) $13,950
Burton, Dan (R-Ind) $13,650
Coverdell, Paul (R-Ga) $13,600
Abraham, Spencer (R-Mich) $13,500
Kennedy, Edward M (D-Mass) $13,500
Murkowski, Lisa (R-Alaska) $13,500
Andrews, Michael Allen (D-Texas) $13,400
McConnell, Mitch (R-Ky) $13,200
Cornyn, John (R-Texas) $13,000
Moynihan, Daniel Patrick (D-NY) $13,000
Faircloth, Lauch (R-NC) $12,875
Fowler, Wyche Jr (D-Ga) $12,760
Chocola, Chris (R-Ind) $12,500
Houghton, Amo (R-NY) $12,500
Kanjorski, Paul E (D-Pa) $12,500
White, Rick (R-Wash) $12,490
King, Pete (R-NY) $12,343
Feinstein, Dianne (D-Calif) $12,250
Grams, Rod (R-Minn) $12,150
Conrad, Kent (D-ND) $12,000
Frisa, Daniel (R-NY) $11,825
Daschle, Tom (D-SD) $11,700
Rockefeller, Jay (D-WVa) $11,500
Weiner, Anthony D (D-NY) $11,500

http://www.opensecrets.org/orgs/recips.php?id=D000000123&type=P&state=&sort=A&cycle=A

[SlowDownFast]

8. Chris Dodd: A Few Real Estate Deals Among Friends

Chris Dodd: A Few Real Estate Deals Among Friends

By MATTHEW KAUFFMAN and DAVE ALTIMARI | The Hartford Courant
March 15, 2009

On a bright day in the late 1980s, a weary Sen. Christopher Dodd stepped off a plane at Shannon Airport, picked up a rental car and drove into the rolling Irish countryside to clear his head of the pressures of Connecticut politics. He rumbled through the green hills of County Galway, decided to cross a rickety causeway onto sparsely populated Inishnee island, and stopped, quite by accident, outside the gates of a beautiful cottage.

"I'm just standing there, just kind of taking it in," Dodd recalled last week. "And this woman comes out of the house — a full head of white hair, bib overalls on, I'll never forget it. She walks up to the gate, she looks at me, and she says: 'Sen. Dodd, what are you doing here? I'm from Ridgefield, Conn.'"

That chance meeting with Rita Beck, a sculptor who spent summers on Inishnee, turned into a friendship that led Beck, years later, to contact Dodd when she had decided to sell. The cottage became available in 1994, and Dodd was interested.

Fifteen years later, critics have raised pointed questions about the financial details of that purchase, and about the possible involvement of a longtime Dodd friend who was convicted of securities fraud — until Dodd helped him receive a presidential pardon.

much more:
http://www.courant.com/news/politics/hc-doddproperty.artmar15,0,4867366.story

[democracy1st]

2. from the very beginning I knew that pick was going to cause trouble

[SlowDownFast]

6. I ranted and railed against Geithner when he was being considered.

DU'rs majority response:

"I think Geithner would be great!"

"Obama's smarter than us!"

etc, etc.

:puke:

[TacticalPeek]

4. "limits only applied to contracts ... after February 11 at the specific request of Timothy Geithner"

Jane Hamsher at Firedoglake:

Dodd's version prohibited TARP recipients from paying out bonuses, retention awards or incentive compensation to the 25 most highly compensated employees. It also prohibited any employee of a company receiving TARP funds from making more than the President. Both provisions would have been in effect so long as a company was receiving TARP funds. Since AIG just paid out $1 million in bonuses to 73 employees, Dodd's version limiting all employees to what the President made (roughly $500,000) would have substantially nipped that in the bud.

From the final conference version of the bill:

(iii) The prohibition required under clause (i) shall not be construed to prohibit any bonus payment required to be paid pursuant to a written employment contract executed on or before February 11, 2009, as such valid employment contracts are determined by the Secretary or the designee of the Secretary.

So -- in the end, all compensation limits only applied to contracts written after February 11, at the specific request of Timothy Geithner, and AIG was able to pay out $286 million in bonuses on Sunday.

http://firedoglake.com/2009/03/17/treasury-attempts-to-blame-dodd-for-aig-bonuses/

[masuki bance]

7. Why is everyone conveniently forgetting that Geithner recused himself

when it came to AIG?

"...he recused himself from AIG matters while his confirmation was pending because of his dealings with the firm as head of the New York Federal Reserve Bank"
http://www.salon.com/opinion/walsh/politics/2009/03/18/aig/

[truedelphi]

9. See the last sentence of Post four for your answer

if it is true that Geithner unravelled the scenario to have such an effect that only bonuses due the AIG execs "after" February 11th, then Geithner is responsible for letting this happen.

[masuki bance]

10. Good grief, Jane doesn't even source that assertion.

Why would you run with her characterization?

[earth mom]

11. Why am I not surprised to find this story buried in this forum?

The truth can not be told about Geithner or Obama or Congress or any of the corruption they are supporting.

[TacticalPeek]

12. Because you've been paying attention?

Just a guess.

;)

[masuki bance]

13. How does it feel to be used by right wing thugs?