But America Should Be More Outraged With Congress Than Some Guys Over Bonuses Congress Granted To Them In A Bill the President Signed. It’s Not Legal or Ethical To Come Back and Ask Someone To Unilaterally Give Up A Right Earned Previously and Backed Up by Law. Congress Is Merely Covering Up Their Own Stupidity In Bailing AIG Out. I Encourage All AIG Employees, Especially Those to Receive Bonuses, To Rise Up In Anger Against Congress For Their Illegal and Unethical Behavior. Congress, and Mr. President, You Are Out of Line. Americans, Rise Up In Anger Over This. Comment below. Don White
AIG CEO says employees starting to return bonuses
By JIM KUHNHENN and TOM RAUM, Associated Press Writers
WASHINGTON – The head of battered insurance giant AIG told Congress on Wednesday that “we’ve heard the American people loudly and clearly” in their rage over executive bonuses, and he appealed to employees to return at least half the money. Testifying under oath at a congressional hearing as intense as any in recent memory, Edward Liddy said some workers already have stepped forward to give money back.
The company became the target of a political firestorm after the disclosure over the weekend that it had paid $165 million in “retention bonuses” to its employees at the same time it was accepting bailout funds from U.S. taxpayers. Some of the payments were made to the same traders and executives whose risky financial behavior caused the company’s near collapse.
Meanwhile, President Barack Obama said Wednesday he wants legislation to give the federal government vast new powers over financial institutions like AIG to protect the public.
Obama, speaking to reporters at the White House, said the powers would be similar to those now exercised over banks by the . It would be part of the administration’s broader package of new finance regulatory steps, he said.
Since AIG is an insurance company and not a bank, it is not subject to the same oversight.