AIG duped the Federal Government at Taxpayers Expense

AIG duped the Federal Government at Taxpayers Expense

The Federal Government “gave” $170 billion in taxpayer monies to AIG on the pretense that it would not survive unless it received government assistance. AIG posted a fourth quarter loss of over $61 billion. Yet, the company is paying out bonuses in excess of $165 million. The Federal Government was duped. AIG just told the entire world that the Federal Government is financial illiterate and unable to comprehend basic accounting principles and business acumen. When a business posts a loss of such significance and then pays out bonuses that is awarding for not just individual poor performance, but organizational poor performance. How can any business justify the paying of such enormous bonuses when they are in financial crisis … by hiring attorneys that “justify” the expenditures. There goes that “old” legal argument that we have contracts and we have to abide by the contracts. We Americans want to see the contracts and the legal terminology. AIG is saying that in the contracts there is no clause that states that if the organization is not financially sound, then the bonuses will not be paid. That is ludicrous that an organization would not provide some type of financial protection within the contract. In addition, where are the AIG policies and procedures concerning bonuses and incentives within the company handbook. Typically, that indicates that if the company is not profitable then bonuses will not be paid and it supersedes any individual contracts. I am just bewildered that the Federal Government and our President would just allow this type of behavior with “Oh, Well! We are upset, but there is nothing we can do about it”. How can the Federal Government be so nonchalant about taxpayer monies. Where is the due diligence, transparency, and accountability that we as Americans expect the Federal Government to exhibit?

In working for companies that have exhibited losses, no matter what the employment contract states, if the company is in the “red” then that is justification enough that “NO” employees will receive bonuses regardless of their performance. I do not understand how the government could be duped. We have a President with a JD, we have cabinet members with PhDs and MBAs and yet they are not able to find a legal “loophole” that would prohibit the paying of the bonuses. It would take a simple “injunction” against the AIG prohibiting the payment of the bonuses until more legal research could be conducted. Because the government “gave” the monies to AIG, they should request that the monies be returned in their entirety immediately. Now AIG find the monies from somewhere else to pay your company executives. Maybe I am a simpleton, but I know that the Federal Government gave our monies to AIG and we have the right to request that the monies be paid back immediately since they were obtained under false pretenses. AIG should be charged with fraud and dismantled immediately. All of the executives including Libby should be terminated and the organization should file bankruptcy. Who really cares if the fail? The typical American could care less. They get what they deserve for defrauding the government and using taxpayer monies for their own personal gains. The Federal Government needs to let the American Taxpayers know that the Federal Government will not be duped and continue on with business as usual.

In the end, AIG is saying to the Federal Government, American Taxpayers, Foreign Governments and the whole world, “How you like me now!!!”

Americans should request that AIG to return the bailout monies with interest within 14 days and provide complete financial statements so that the true financial worth of the company can be assessed. The Federal Government provided taxpayer monies for the bailout and as such we should be the new stockholders for AIG and not just the Federal Government. Each citizen should receive stock certificates for AIG regardless of their worth.

Write your Senator or Representative and tell them we want our monies back immediately and we want AIG to be prosecuted for fraud and dismantled. Not tomorrow, but today.

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