Oh, look. The federal government’s trying to look like it’s doing the will of the people.
Between 2008-2009, the U.S. Treasury Department, under the direction of the Obama Administration, loaned funds to (i.e., “bailed out”) various businesses under the Troubled Asset Relief Program, or TARP. In receiving such assistance, the pay of the heads of these companies, which include American International Group, Inc. (AIG), Bank of America Corp., Citigroup, Chrysler, and General Motors, fell under the jurisdiction of a special master for executive compensation.
AIG received $68 billion from TARP; Ally $17.2 billion; and GM $50 billion. TARP special master Patricia Geoghegan again denied requests by the AIG CEO Robert Benmosche, Ally CEO Michael Carpenter, and GM CEO Dan Akerson (pictured). This is the second year the three CEOs has requested compensation and it has been denied. States the Treasury department, “Although there has been some modification in the mix of stock salary and long-term restricted stock for the CEO group, the overall amount of CEO compensation is frozen at 2011 levels.”
Companies that received TARP bailouts like BoA, Citigroup, Chrysler and other company have already left the program.
Automotive.com’s take: Apparently government staff needs to increase their own salaries and budgets.