AIG: Ain’t it gag-worthy?; Update: Obama chokes up, will pursue “every legal avenue” to block AIG bonuses
Scroll down for updates…Obama will “pursue every single legal avenue” to block AIG bonuses….
I snorted this weekend over the fecklessness of Tiny Tim Geithner, crawling on his knees to AIG in an attempt to avert a public relations disaster concerning the bailout behemoth’s massive executive bonuses.
AIG, 80 percent owned by taxpayers, basically told Geithner — their rescue handmaiden — to take a hike. Now, you can read AIG president Edward Liddy’s snotty letter in its entirety here. A snippet:
Needless to say, in the current circumstances, I do not like these arrangements and find it distasteful and difficult to recommend to you that we must proceed with them…
…I would not be doing my job if I did not directly advise you of my grave concern about the long-term consequences of the actions we are taking today. On the one hand, all of us at AIG recognize the environment in which we operate and the remonstrations of our President for a more restrained system of compensation for executives. On the other hand, we cannot attract and retain the best and brightest talent to lead and staff the AIG businesses – which are now being operated principally on behalf of the American taxpayers – if employees believe that their compensation is subject to continued and arbitrary adjustment by the U.S. Treasury.
Barney Frank is already in full Kabuki outrage mode. President Obama is scheduled this morning to distract the nation with some sort of sop to small business owners. He may even muster up some faux anger and wag his finger at AIG.
Gag. Spare me.
Both parties in Washington created this Frankenstein. Make no mistake. President Bush, with help from now-Treasury Secretary Tim Geithner and his mentor Hank Paulson, pre-socialized the economy and stabbed fiscal conservatism in the heart with the original AIG bailout. Here is what I wrote on September 19:
Bush Treasury Secretary Hank Paulson just wrapped up his press conference announcing the Mother of All Bailouts. He said a “bold” approach was needed to achieve “stability” in the market.
Let me translate that.
“Bold” = Massively massive, taxpayer-funded rescue.
“Stability” = Privatizing profits and socializing losses on a scale we have never seen before in our lifetimes.
I have had it with Pollyanna conservatives who continue to parrot the “fundamentals of the market are great!” line.
The fundamentals of the market suck. The fundamentals of capitalism have been sabotaged.
Yes, yes, crony Democrats are to blame for much of how we got here. You don’t need to recite all the talking points back to me. I’ve been writing about the Fannie/Freddie debacle for years.
But it is September 19, 2008. And this is a Republican White House presiding over the Mother of All Bailouts. Every step along the way since stimuluspalooza began last summer, we’ve heard that every bailout step was just a one-off. Each step was supposed to calm the markets. Each new government intervention and allocation of taxpayer dollars was supposed to achieve “stability.” Each new package of goodies rewarding irresponsible behavior and bad financial decisions was supposed to prevent new ones.
None did. And now, here we are.
This is your Bush legacy — not Pelosi’s, not Reid’s, not Obama’s: A ginormous bailout of every last, failing, panicked financial institution’s illiquid assets that may reach into the trillions — TRILLIONS – when all is said and done.
And here’s what I wrote on March 2, when Obama decided to dig an even bigger hole:
Screw up, move up. It’s how Obama cabinet officials get ahead. And it’s how Washington’s favored failing businesses get more of your money. The first $85 billion bailout under Bush didn’t work. The second $38 billion under Bush didn’t work. So, hey, how about tossing another $30 billion down the hole?
So much for President Obama taking a stand against Bush’s failed policies, eh? But don’t worry. We’ve got Bozo the VP looking out for us this time, making sure all the money is tracked on the Internets.
Government is not the solution. Government is the problem. Don’t let any of the bipartisan buffoons tell you otherwise. The sooner we have at least one party in Washington that can hold fast to basic fiscal conservative principles in the face of crisis — see: GOP presidential candidate McCain flip-flops on AIG bailout, circa 9/2008 — the better.
***
Update 10:33am Eastern. Obama wags his finger. “I’ve asked Geithner to pursue every single legal avenue to block these bonuses and make the American taxpayers whole. I want to make clear that Geithner has been on the case.”
Yeah, he’s been on the case. That’s the problem.
Coughs. “Excuse me, I’m choked up with anger here.”
Audience laughs.
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Trackbacks
- The White House gets the Message! President Obama to Block A.I.G. Bonuses « Political Byline
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- Why the GOP Should Take the Lead Against the AIG Bonus Babies | FullosseousFlap's Dental Blog
- GOP congressman introduces birth certificate bill « Jim Blazsik
- Nevermind The Billions Going To ACORN, Those Damn AIG Exec’s Need To Burn! | Democrat = Socialist
- Bailouts for Liars, Illegal Aliens, and Undeserved Bonuses | OpenMarket.org
- Michelle Malkin » A little something for Obama’s cough
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- Michelle Malkin: A little something for Obama’s zero experience cough : Obama Zero Experience Blogs
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- Good Richard's Almanac
- Emotion and business decisions - the AIG bonus program | Radio Vice Online
- Michelle Malkin » AIG Derangement Syndrome
- AIG: Demons or Fall Guys with Those Exec Bonuses? « Frugal Café Blog Zone
- Hot Air » Blog Archive » Santelli: Forget the stupid AIG bonuses and get angry about the bailouts
- La Transición de Obama: economía. El Plan de Rescate de Bancos de Geithner « Sarah Palin en Español
- The Greenroom » Forum Archive » 100 days: What Obama does not want you to read
- 100 days: What Obama does not want you to read | Federal Jack
- Patterico’s Pontifications » 100 days: What Obama does not want you to read
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Categories: AIG, Subprime crisis, Tim Geithner
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You’re never too big to fail. Quite the opposite: The bigger you are the harder you fall.
It only takes one torpedo under the keel of an aircraft carrier to bring her down.
I agree. Honoring contracts is after all, the rule of law. Unless of course you’re Obama pandering to disgrutled tax payers. Whichever direction the wind is blowing, so is Odumbo.
Kyhris said:
Yup, my thoughts exactly. Tell the world a contract you sign is worthless and watch everyone beat a path to the exit.
Wait hold the bus! Is this the same IDIOT that just signed a 410 bill that included Auto Pay Raises for Congress??????
ROTFLMAO!!!!!!
Ugh, Cuomo just anounced the Attorney General’s office will be “investigating” these bonuses.
THAT will be good for AIG… They have to find people brilliant enough to fix their mess, yet stupid enough to want to work for a company where getting paid depends upon whether you survive a fraudulent rigged federal investigation with the pure partisan aim of making populist Obama look like he’s doing something for the “little guy,” but only by sticking it to the “big guy.” Of course, if AIG goes to court, it’s legal fees are just going to come out of bailout money.
Class warfare at its finest, with BOTH sides being paid for by you and me. What a merry little dance.
I hate to tell you guys this, but the people at AIG that received bonuses are by large, wealthy Democrat donors. Obama is feigning “outrage”, but the truth is that this is a political payoff and the noises coming from the White House and Congress are as phony and as meaningless as ever.
You said the magic word. War. Since libs won’t fight a war, this one is easy. All we have to do is start a war or threaten a war and the liberals will give us everything we demand. They won’t even be able to hold us as prisoners if we claim torture.
Do not raise taxes or we will fight war.
Ok no new taxes. We are sorry.
Fire Pelosi from the leadership or we will fight war.
Ok Nancy please step down.
We don’t want any conflicts.
No blood for Socialism
Obama tried- nobody died
Should be easy.
I watched his teleprompter delivery this morning, and his face revealed anything but anger. This clown was preaching about how the bad exec’s were doing this or that, and during the entire speech, he had a smirk on his face! Anger? I don’t think so.
I read people really well, and there was no hint of real emotion. There wasn’t even feigned anger. We have seen him show anger before, during the primary…brow furrowed, corners of his mouth down turned…eyes drawn tight…but not today. The Commander in Chief, is not only showing his incompetency, but earning a new title…Poser in Chief.
You’re right, these gutless wonders won’t fight a war. But they will use our children to fight one. And then the spineless ba$tards will charge them for medical care for their war wounds.