Posted on 03/17/2009 10:03:58 AM PDT by NormsRevenge
WASHINGTON (Reuters) – A top White House economic adviser said on Tuesday the Obama administration will be "creative" in dealing with the issue of bonuses paid to American International Group employees but said the law must be respected.
Lawrence Summers, interviewed on CNBC television, also said the White House is seeking a method for dealing with failed institutions that has been missing in the current financial crisis.
"We are going to be pushing very hard for a so-called resolution regime, a system that will enable the government to intervene when a big financial company gets in trouble in the future ... and ....make the people who should bear the responsibility bear the responsibility," he said.
(Excerpt) Read more at news.yahoo.com ...
sounds like a risky scheme to me.
altho, I am afraid a lot of folks are crying wolf about AIG but the flock is no longer in sight.
Does this statement put a sick feeling in everyone else's stomach too?
If this issue upsets you, you do not understand economics, the proper role of government, or the need of Obama to divert the public from Obama’s OWN incompetence.
Any person who believes this stuff out of the White House is a moron!
Conservatives, PLEASE, does it give you any pause that you are on the SAME SIDE as Obama and the Congressional Democrats????
You are on the side of Chuck Schumer, Barney Frank and Chris Dodd.
Huh? democrats are the ones who gave their rich exec friends at AIG their bonuses with taxpayer money. They are the ones to be blamed. I don’t believe their fake and phony outrage for one bit.
“Creativity” is a threat from the Godfather of Derivatives.
How about “leave it alone and it’ll sort itself out?”
hmmmm, I always thought BONUSES were for when the company was doing WELL and they wanted to reward the hard work of their employees. I am puzzled as to why there is even talk of bonus pay when they reported that they lost 62 million for the last quarter of 2008. That in its own right is anti-capitalist.
“leave it alone and it’ll sort itself out?”
we are an activist society to a fault
elected officials are just feeding the frenzy.
better to have screwed it up
then done nothing come election day, it seems.
I’ve called my Congresscritters and railed about them demonizing private citizens over these AIG boni.
Listen, Congress has pissed away $ 1.5 trillion since September, and they are worried about a lousy $ 165 million?
We can give $ 900 million to the Palestinian Authority(=Hamas, wink, wink), but Congress is going apoplectic over $ 165 million?
Of that $ 165 million, half of that goes to payroll taxes to federal, state and city governments. The other half either gets saved, which helps the banks, or spent, which SAVES JOBS and creates state sales tax revenue.
It’s a mini-stimulus plan, no different than Congress has been ineffectively doing.
Besides it is a contractual arrangement, and the government, under Turbo Tax Timmy and Hank Paulson, failed to write any restrictions into the AIG bailout plan.
I wish I was a high powered lawyer—I’d be calling Chuck Schumer and telling him “I’ll see you in court! if you touch my client’s bonus!
What fools we have in DC!
This is exactly what they wanted to do. They had to figure out a creative way to limit all executive compensation (not just bailout companies)—this will set a precedent for just that. It is called communism. If they manage to do this, we will be more communistic than Russia.
I wonder if the law he talks about respecting includes the clause that Dodd added PERMITTING the bonus payments?
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