TARP Watchdog Howls At Pay Increases
|United Press International|
A government watchdog said the
"We expect Treasury to look out for taxpayers who funded the bailout of these companies by holding the line on excessive pay," said
"Treasury cannot look out for taxpayers' interests if it continues to rely to a great extent on the pay proposed by companies that have historically pushed back on pay limits. The agency insists that the pay packages did not act against the public interest or break the law."
The department approved a raise of
Huge compensation packages became a sore point after the financial crisis of 2008 and throughout the subsequent bailout of the financial sector. Billions of dollars of taxpayer funds were used to bail out companies that blundered into and, in some ways, created the financial crisis.
Symbolic of the compensation controversy, AIG was severely criticized for awarding
Feinberg stepped down in 2010. In 2012, the report says, Geoghegan allowed 23 exceptions to Feinberg's guidelines, four times the number of exceptions allowed in 2009.
|Copyright:||Copyright 2013 United Press International, Inc. (UPI). Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.|