From Capitol Hill Blue:
The Obama administration says it's trying to put strict limits on the next $30 billion installment in taxpayers' money for insurance giant AIG amid questions about whether it responded fiercely enough to executive bonus payments.
Iowa Sen. Charles Grassley suggested that AIG executives should take a Japanese approach toward accepting responsibility for the collapse of the insurance giant by resigning or killing themselves.
The Republican lawmaker's harsh comments came during an interview with Cedar Rapids, Iowa, radio station WMT on Monday. They echo remarks he has made in the past about corporate executives and public apologies, but went further in suggesting suicide.
The only real difference between Bernie Madoff and the management of AIG is that when Bernie Madoff got caught, he pleaded guilty. When AIG got caught, it asked the government for $170 billion.
And it got it. Now the American International Group is going to pay $165 million to its executives as a reward for the fine job they did in duping everybody.
If AIG were in the public relations business instead of insurance, it surely would have gone broke years ago.
Take the reaction to its decision to go ahead with $450 million in bonus payments, including $165 billion paid out over this last weekend, to executives of the business unit whose recklessness almost wrecked the company. Also over the weekend the firm disclosed that had to sue $34 billion in bailout money to make good on credit default swaps the unit has written that had gone bad.
The Truth Will Out; Taxpayers Sucked Dry by A.I.G. "Taxpayers unlikely to be fully repaid in AIG mess....No longer can we call it an investment. We just have to call it what it is — and that's sinking money in a hole."