Posted by Jonathan Adler:
The House Tries Again on AIG Bonuses:
http://volokh.com/archives/archive_2009_03_29-2009_04_04.shtml#1238732936
[1]From the Washington Post:
The House is taking another, albeit weaker, stab at trying to keep
bailed-out financial institutions from paying their employees hefty
bonuses after lawmakers had second thoughts about their vote two
weeks ago to tax the bonuses away.
A new bill, which passed 247-171 on Wednesday, would allow the
bonuses if the Treasury Department and financial regulators
determine they are not "unreasonable or excessive." . . .
Under the bill, Treasury Secretary Timothy Geithner and financial
regulators would set standards for employee compensation at
companies that accept bailout money, taking into account an
employee's performance, as well as the stability of a financial
institution.
Rep. Barney Frank, D-Mass., chairman of the House Financial
Services Committee, said the bill would apply only to institutions
that receive money through the government's $700 billion Troubled
Asset Relief Program and would not automatically extend to others
that participate in other TARP-related programs, including Obama's
new public-private investment program.
References
1.
http://www.washingtonpost.com/wp-dyn/content/article/2009/04/01/AR2009040103383.html?hpid=sec-politics
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