Monday, March 16, 2009

The world is full of crooks

AIG made bets on the housing market that have cost taxpayers $170 far. That's more than $500 from every American.

But get this: The Washington Post just reported that these people are receiving $450 million in bonuses—and they got their first installment yesterday. They helped destroy our economy, and now they're being rewarded for it with our bailout money!

Secretary Geithner already shamed AIG into reducing the bonuses they planned on paying out. But seven executives in the financial products division still received bonuses of more than $3 million each. These people wrote literally trillions of dollars in insurance contracts—those infamous credit default swaps—that they could never hope to cover. And they're getting huge bonuses for perpetrating this fraud.

AIG's main defense is that they have to honor the contracts with these employees. But let's be clear: AIG would be bankrupt and these folks would already have been laid off if it weren't for the government's massive infusion of money. The big car companies took far less taxpayer money, and they're modifying their contracts with autoworkers. AIG should do the same with its employees.

Fantastic email I just recieved. Search around for some legit petitions to sign and if you are not already on the mailing list, PLEASE SIGN UP FOR OBAMA'S WEEKLY EMAIL. This is the first time a president is keeping in consistent, weekly contact with his people and he and his cabinet have a lot of things to say.


1 comment:

DJ Decadence said...

The bailout was an irresponsible idea in the first place. Companies in the financial sector have only one possible function to serve: managing money. If they demonstrate that they are incapable (or unwilling) to do so well and responsibly, then fuck 'em.
As for Detroit: maybe if you didn't have a business model that revolves around selling the consumer a new POS every 2-3 years, you wouldn't be hurting so much right now.

Blog Archive