Bailout inspector slams huge pay rises for company chiefs
Tuesday 29 January 2013
Printable
EmailUS bailout inspectors blasted the Treasury on Monday for approving huge salaries and raises for bosses at firms that took government cash during the financial crisis.
The Special Inspector General for the Troubled Asset Relief Programme said that the Treasury had approved all 18 requests it received last year to raise pay for top executives at insurer AIG, General Motors and Ally Financial.
Of those requests, 14 were for $100,000 (£65,000) or more and the largest rise was $1 million (£635,000).
The department also allowed pay packages totalling $5m (£3.2m) or more for nearly a quarter of the executives at those firms.
"We expect the Treasury to look out for taxpayers who funded the bailout of these companies by holding the line on excessive pay," said head inspector Christy Romero.
The three companies received a total of $248.7 billion (£158bn) in the massive financial bailout in 2008.
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