New Yorks Attorney General Andrew Cuomo has announced that 9 out of 10 AIG executives have agreed to pay back the bonuses paid to them out of American Tax payers money.
He said that 15 of the top 20 bonus recipients had agreed to pay back the money, and that he hoped to retrieve half of the $165 million bonuses paid by AIG on March 15th.
The American House of Representatives has approved a bill to tax, at a rate of 90%, any bonus paid by a company in reciept of Government help. President Obama is desperately trying to keep the bill off his desk because he deems it to be unconstitutional.
While he may be right in his assessment, wasn’t it at least unconstitutional, for these companies to pay out bonuses for good performance when they needed to take handouts to keep afloat?
Will the UK government address similar issues here?
