Posted on 07/23/2010 2:16:09 PM PDT by matt1234
Seventeen big banks getting bailouts from taxpayers made "ill-advised" overpayments to executives in late 2008 and early 2009, but they can't be forced to pay them back, U.S. pay czar Kenneth Feinberg said on Friday.
In his final act before he moves on to oversee payments from a fund that oil company BP Plc has set up to compensate oil-spill victims, Feinberg said he was urging banks to voluntarily adopt policies so that such pay practices could never happen again.
"There were 17 companies where the payments that were made during this window of about five months ... were ill-advised," Feinberg told reporters at a press conference.
"They weren't illegal, they violated no statute, they violated no regulation," he said, adding they reflected "bad judgment" but could not be termed "contrary to the public interest."
Feinberg proposed that financial firms adopt policies that would let them "restructure, reduce or cancel" bonuses and other special payments to executives in future crises but said he had no authority to force banks to give back past overpayments.
(Excerpt) Read more at reuters.com ...
This will end well.
Pay czars must not be getting his share of the cut gets man.
Every $1,000,000,000 Wall Street bonus = $1,000,000 taxes to NYC.. after chasing out Rush and Golisano, NYC can’t afford any more losses in revenue.
Feinberg,
STFU you self absorbed swarmey schmuck!
...this stuff plays well to the class warfare crowd.
Funny how fond of czars these bolsheviks have turned out to be.
Doonesbury Democrats don’t want to raise everyone up to a higher level, they want to smash everybody down to the same level.
As a result, Mr. Feinberg will merely propose that the banks voluntarily adopt a “brake provision” that would allow their boards to nullify or alter any bonus payouts or employment contracts in the event of a future financial crisis.
Nullify employment contracts!!! Really?
So, in times I deem to be of personal financial crisis, can I declare any contractual obligations void? I guess I can decide not to pay my taxes? I take it that he wants to abolish contract law?
Legislate that a corp has to pay compensation by bonus, beat them up when they do it, and propose the flexibility to throw out contracts at whim. Very sensible. /s
IMHO it is better for the money to remain in the private sector than going to the government.
and I’m thinking all 17 of those “big banks” have paid back TARP - with interest- largely thanks to the rainmaking and manipulative deal making skills of those “overpaid executives”
So Feinburg- stfu
“They weren’t illegal, they violated no statute, they violated no regulation,” he said, adding they reflected “bad judgment” but could not be termed “contrary to the public interest.”
Repeat as necessary.
FOAD, fascist pig.
I’m not sure where these comments are coming from or where they lean politically, but I need to vent. I am SICK and TIRED of the greedy b@#$#!s that are in charge of Corporate America. I founded a manufacturing company over 25 years ago and I am still in business. SHOCK!!! It has not been easy ($250K Line of credit not renewed, mandating a 15% cut in either hours or salary for 25 employees, taking a 50% paycut myself), but we are going to make it. AND without a BAILOUT from Uncle Sam or even any of the frigging banks that are getting money (taxpayer backed) at a discount to invest for their own ‘proprietary trading’. I am sooooo f’ing tired of every one of these “executives” that have set themselves up for life (unless of course they piss it away on some mortgage for an overpriced property in the Hamptons). Since it appears that no one actually MAKES anything anymore, all I can say is screw all of the financial gurus, lobbyists, and politicians. From my current view, they all suck.
Well, gee, Martha, that’s just plain crazy. You see, what you want to do is cheer the pillaging of our Treasury by Corporate America, and then complain that the government is ineffective in stopping it.
And one more thing. Giving trillions of tax dollars to rich corporate fat cats is a good. Giving it to union autoworkers isn’t it. See? It’s not so hard.
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