This $100 million A.I.G. bonus storyis truly outrageous.
This is a company that remains TARPed and bailed out to the tune of a staggering $124 billion in taxpayer dollars. They have already received $230 million in prior bonuses, from the taxpayers.
Let me state, unequivocally: this is not free market capitalism.
I'm making this case against A.I.G bonuses as a market-based conservative, not as a left-wing populist. But as I have argued before regarding commercial bank bonuses, TARPed firms on the taxpayer dole should forego bonus payments.
You know, if A.I.G had been put into bankruptcy, as they should’ve been, all those bonus contracts would’ve been nullified, as would shareholders, creditors and all the rest. I don’t understand why we’re sitting by and allowing these bonus payments to be made.
That said, once banks get off of TARP, and have paid back taxpayers in full, then I say let free market capitalism roll. But not when you're on the taxpayer dole.
Back room deals like this are creating a political revolution across the country. And I can't wait to hear what Senator-elect Scott Brown says about all this when he is formally sworn in this afternoon.
Another outrage is this $2 trillion tax hike in the Obama budget.