Huckabee on CEO Pay

Club For Growth ^ | December 25, 2007 | Nachama Soloveichik

[Eric Blair 2084]

I still cling to the old-fashioned notion that publicly-traded companies exist primarily to serve the fiduciary interests of the shareholders - not the executives.

Exactly right. That's why they have annual shareholder meetings. If they don't like the board who hired the bozo they can vote for a new board of directors and a new CEO. It's not the Gubmints job to limit or cap the salary of the CEO of a company or any other American.

[HAL9000]

Exactly right. That's why they have annual shareholder meetings.

In Gupta's case, the shareholder meetings are a charade. He rigs the stock allocations to control a 51% majority. He handpicks the directors, and they are effectively his sock puppets. The annual meeting is held in a frozen cornfield far away from the business location, and lasts five minutes with no opportunity to ask questions. Gupta then does things like personally buy stock in acquisition targets right before he announces a takeover of the target, which personally enriches him at the expense of the shareholders of his company. It's a blatant conflict-of-interest. (And meanwhile, he's giving away millions to the Clintons and selling rigged polls to CNN.) This sort of manipulation of inside information should be illegal, and it is the sort of abuse that Huckabee is saying corporations should put a stop to. I'm certain that Huckabee would veto any attempt to impose salary caps, but it's likely that he would advocate greater accountability to shareholders.