More Videos
- Gold Is in a 'Bubble' And Will Keep Going Higher: Gartman
- Millions May Have to Repay Part of Obama Tax Credit
- Madoff Auction: $4,750 for a Decoy Duck?
- Slideshow: Madoff's Luxury Boats Go Up for Auction
- Retail Sales Show Gain, But Manufacturing Gauge Slips
- Business Inventories Fall 0.4% in September
- Intel Plans to Increase Dividend 12.75%; Shares Gain
- Several Credit Card Companies See Default Rate Fall
- Fed Proposes Crackdown on Excessive Gift-Card Fees
- S&P to Hit 1,175 in the Short Term: Strategist
- Your Jobless Recovery Game Plan
- S&P to Hit 1,175 in the Short Term: Strategist
- Busch: US Health Care Bill a Concern for the Chinese
- Underwater Mortgages Could Sink Even Deeper
- My Market and Fed Outlook Now: BlackRock's Doll
- Farrell: The Market is Still Seeking Reassurance
- GM Cuts Losses—Plans Early Loan Repayment
- Schork Oil Outlook: Still Bearish Crude, But Skeptical
MOST SHARED
- BlackRock: Central Banks To Be Net Buyers of Gold
- Millions May Have to Repay Part of Obama Tax Credit
- Gold Is in a 'Bubble' And Will Keep Going Higher: Gartman
- Weak US Housing Market Drags on Lowe's Profit
- Cisco Ups Tandberg Bid, Claims Over 40% Backing
- Madoff Auction: $4,750 for a Decoy Duck?
- EADS Cautious on Full-Year Forecast after Earnings Dip
- Devon to Sell its Gulf, International Assets
Text Size 
New York Attorney General Andrew Cuomo is demanding information about executive compensation and bonuses at nine banks that have received federal funds under TARP, the U.S. Treasury's Troubled Asset Relief Program.
In a letter to each institution's Board of Directors, Cuomo warns the bonuses could violate New York's state fraudulent conveyance law.
"Obviously," he writes, "we will have grave concerns if your expected bonus pool has increased in any way as a result of your receipt or expected receipt of taxpayer funds from TARP."
In the letter, Cuomo demands information on how this year's bonus pools were calculated, as well as details on each bank's 2006 and 2007 bonus payments.
Cuomo recently won concessions from AIG [AIG
Loading...
()
]—also the recipient of a federal bailout—after details of lavish payments and corporate junkets came to light.
The firms receiving today's letter are: Bank of America [BAC
Loading...
()
], Bank of New York Mellon [BK
Loading...
()
], Citigroup [C
Loading...
()
], Goldman Sachs [GS
Loading...
()
], J.P. Morgan Chase [JPM
Loading...
()
], Merrill Lynch [MER
Loading...
()
], Morgan Stanley [MS
Loading...
()
], State Street [STT
Loading...
()
] and Wells Fargo [WFC
Loading...
()
].
In a statement, Citigroup said it would cooperate with federal and state inquiries about its wages and benefits, which the firm says "reflect compensation best practices." The company also noted that the federal bailout already includes restrictions on executive pay.
A spokeswoman for State Street said the bank is "carefully evaluating the request," and a Goldman Sachs spokesman said the firm had not yet seen the letter.
Spokespeople for Bank of America, Bank of New York Mellon, J.P.Morgan Chase, Merrill Lynch and Wells Fargo all declined to comment. Morgan Stanley could not be immediately reached for comment.
Yesterday, California Congressman Henry Waxman, who chairs the House Oversight and Government Reform Committee, sent similar letters to the same nine banks.
Print
Email
- Where, what, how.
- CNBC's Jim Goldman asks: Has the sun begun to set on Twitter? Data suggests its best days are over.
- De Loach Vineyards is selling its pinot noir the old fashioned way, helping to cut energy and transportation costs.
- Why are the Chinese concerned about the progress of U.S. health care legislation?
- The president and founder of Genesis Today wants to improve America’s health, and thinks Wal-Mart can help.
- If a terrible driver on your morning commute has you feeling like you want to scream, check this out.
Data is a real-time snapshot *Data is delayed at least 15 minutes