Congress Seeks An Answer For Executive Bonuses

By Aaron Richardson-Talk Radio News Service

The House Financial Services Committee inquired today as to why, with the economy in recession, CEO’s are still receiving millions of dollars in bonuses. 

“What have you discovered about the $5 billion in bonuses given to Merill Lynch?” Rep. Maxine Waters (D-Calif.) asked the panel of witnesses, which included Brian Breheny, the SEC’s Deputy Director of Corporate Finance; Scott Alvarez, Federal Reserve System General Counsel and  Gene Sperling, the Counselor to the Secretary of Treasury.

Sperling ,who answered the majority of the questions, could not answer, and only replied, ” I would have to go back, and would be happy to do so, and get what our administrations best understanding of that dispute is.”

Rep. Gene Green (D-Texas) brought the Committee’s attention over to what was at stake for the citizens in his district if fiscally irresponsible behavior, including exorbitant salaries for the executives of flailing companies, continues.

“What they are losing is their money for education, money to pay their house notes and money to sustain themselves. I find it quite disenchanting to know that there are those who want them to receive cuts and not want us to look at the compensation these executives are receiving,” said Green.