Arianna says
"It’s a battle to see who is more tone-deaf: the AIG execs pushing for bonuses despite running the company into the ground or the members of the Obama administration who didn’t realize this would inspire such outrage."
"It’s a battle to see who is more tone-deaf: the AIG execs pushing for bonuses despite running the company into the ground or the members of the Obama administration who didn’t realize this would inspire such outrage."
As public and political outrage over the AIG bonuses reached a crescendo last night, President Barack Obama was warned he could pay a heavy political price if he failed to take a rapid and determined stand.
Obama and House Speaker Nancy Pelosi said three options were being considered to claw back the $165 million bonuses, but a former leading Democratic campaign chief said it “would be a crime” if Obama failed to “raise populist hell.”
Hank Sheinkopf, a political campaign consultant who has worked for President Clinton and currently works for New York City Mayor Michael Bloomberg told Metro: “If he doesn’t stand up and raise populist hell, the voters will be very unhappy. Failure to start screaming and yelling would be the crime here.
“The president has to prove he’s standing up for taxpayers and the enemy are the banks.”
Analysts said there was a danger of Obama being left “behind the curve” as public opinion hardened ahead of his ability to claw back the bonuses.
Pelosi said lawmakers were considering a surtax of up to 98 percent on the AIG payouts, allowing the Attorney General to claim back bonuses paid by companies receiving public subsidy, or clamping down on so-called “retention payments” to top staff.
But politicians and members of the public said yesterday that, even as government lawyers pored over AIG contracts to see if there was a way to reclaim the money, the situation should never have been allowed to reach this point.
Sen. Chris Dodd, of Conn., told The Washington Post that he warned the Obama administration that the bonuses would anger the public. “I warned them this would be met with an unprecedented level of outrage,” he said.