All day AIG has been on the minds of talk shows,cable news,politicians and the Pres.There has been unanimous condemnation.
Of course I don't think one rewards failure,certainly not with my money.However,the feeding frenzy has shed much heat but little light.
We have no evidence that the Govt. placed any strings to the billions given to AIG.Nor, did they ask the company what were the future contractural obligstions to staff, especially overseas.
The govt. did not want AIG to go bankrupt-had they done so, all contracts would be subject to court approval.
Who are the individuals getting the bonuses? Were all of them contracted before the bailout?
Were these primarily in foreign countries?
Is it true, that legal counsel feels that failure to carry out the contract could cause serious financial harm-greater than the sum of the bonuses/
What are the reasons that AIG is sending huge sums to foreign banks? Is this part of their normal routine? Is it related to their recovery?
Why did the govt not place conditions on the money before it was given?
The head of AIG, was appointed by the govt,and has only one desire to rehabilitate the company-he gets no bonus.
Those departments that caused the financial problems , should have had rheir staffs fired.It is not the governments job to micro-manage ,unless they want to run the company.
Failure to make money is not a crime in a financial institution. dismissal-sure,but subpenos?
Remember when a patient dies, absent malpractice , the doctor gets paid.
I believe this is a complicated situation.Yelling into the microphone as oart of a political campaign surely inflames the public, however the public is poorly served.
