Lots of fury this Sunday about the disclosure that AIG, beneficiary of $165-Billion U.S. taxpayer dollars, is going to give bonuses to some of its employees to the tune of $150-Million. That's chump change in today's economic world, but still infuriating. AIG says the bonuses were promised before the collapse, and their hands are tied. And that in effect ties our hands too, no? It you hate Citi Bank for its own failures, you can always close your account to show your displeasure. You can pledge to never buy another Ford or GM product. But just what can you do to AIG? They sell nothing with any direct connection to the average consumer. Over the years I've mounted my own personal campaigns against corporations that did something I found objectionable. But what are my options now? Do you know somebody who is an AIG executive? How will you react when, despite the misery across much of the country, he or she all of a sudden shows up with a new Bentley, or refurbishes the spa at the country home? How about casually asking them just what it is they did to earn that bonus, considering the abject failure of their firm? And can all of us now book a day at our spa? Last night on 60-Minutes, Fed Chair Ben Bernanke said nothing made him angrier in all of this mess than the AIG situation. Maybe that spa visit will help sooth him.
[UPDATE: From Sen. Shelby on Good Morning America: ''We ought to explore everything that we can through the government to make sure that this money is not wasted,'' Shelby said. ''These people brought this on themselves. Now you're rewarding failure. A lot of these people should be fired, not awarded bonuses. This is horrible. It's outrageous.''
Not that I don't share his outrage, but who was Chairman of the Senate Banking Committe for most of the last eight years? Where is his responsibility?] [Sen. Shelby uses the same argument about the man who's run Treasury for all of a few weeks during an interview Tuesday morning.]
[UPDATE #2: The NY Attorney General wants to see if the bonuses were fraud...]
[UPDATE #3: a U.S. Senator suggests suicide for AIG executives...after an apology.
[UPDATE #4: It's a Democratic circular firing squad!
Tim! It's a good thing you are not in charge of the recovery! Just what are you accomplishing by "punishing" the firms receiving taxpayer assistance? Bringing them even closer to failure? And if they do, there go your tax dollars down the drain! Stick to political commentary!
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