AIG THUMBS NOSE AT TAXPAYERS – ENJOYS LUXURIOUS RESORT VACATION ONE WEEK AFTER RECEIVING BILLIONS IN BAILOUT

The House Oversight Committee revealed that just one week after the federal government – that would be you and me – bailed out insurance giant AIG, company executives went on a retreat to a luxury resort. The executives spent nearly $500,000 on manicures, facials, pedicures, and massages, among other things.

AIG spent $200,000 dollars for hotel rooms and almost $150,000 for catered banquets. AIG spent $23,000 at the hotel spa and another $1,400 at the salon. The executives were getting manicures, facials, pedicures and massages while American people were footing the bill. They spent another $10,000 dollars for leisure dining.

Earlier in the week, Lehman Brothers CEO Richard Fuld admitted to Congress that he had taken home over $300 million since 2000. Furthermore, executives who feared for their bonuses in the company’s last months were told not to worry, even as Lehman plead for a federal bailout. Oversight Committee Chairman Henry Waxman (D-CA) revealed that the board gave three departing executives over $20 million in ‘special payments’.

Ingrates! When does this stop? Is the government so controlled by big business that, contrary to those who believe the government is taking over, the government is actually subordinate to Wall Street?

I think the public has been duped – duped by the fear of a collapse. Wall Street has pulled a fast one. While genuflecting and pounding Congress with cries for help, it has managed to drain billions of taxpayer dollars to support the lifestyle to which it has always been accustomed.

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About Charlotte A. Weybright

I own a home in the historical West Central Neighborhood of Fort Wayne, Indiana. I have four grown sons and nine grandchildren - four grandsons and five granddaughters. I love to work on my home, and I enjoy crafts of all types. But, most of all, I enjoy being involved in political and community issues.
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5 Responses to AIG THUMBS NOSE AT TAXPAYERS – ENJOYS LUXURIOUS RESORT VACATION ONE WEEK AFTER RECEIVING BILLIONS IN BAILOUT

  1. J. Q. Taxpayer says:

    What I am about to write does not make what AIG did right but here is some things the media failed to disclose and Waxman never repeated in his press comments.

    1- The BLOWOUT was for the AIG “INSURANCE DIVISION.” The one division that made money last money, has not high risk trash, and was on target to make money this year.

    2- The BLOWOUT was for the sales reps from around the world who had record years and this was part of the reward program.

    3- The CEO of AIG would not know about the event or the cost as it is under the President of the Insurance Division.

    I agree on getting duped. I changed my mind between the announcement of the 700 Billion and the first vote. I had talked to old friend that is a Prof of Econ at a very liberal school up north and he laid out the nightmare.

    IT IS GOING TO BE UGLY.

    The hearings where a joke and look at the only thing that has made the news. The damn BLOWOUT PARTY!!! Yepper, that pushed them over the top and crashed AIG.

    Souder shot his mouth off on the second day spouting off. Then again many of the other committee members did the same thing. It was like, “YOU GUYS ARE SO STUPID AND WE ARE TICKED OFF!”

    What is the most interesting is one of people on the first panel by the name of Nell Minow. She blasted AIG all over the place. Then I found out by research her family are strongly involved in supporting Obama so that added a little to explaining her angle.

    But what is even more interesting is she discussed this very nightmare clear back in 2005 on an Internet exchange but never mentioned in the hearing. I just found it tonight on the Internet when searching for something else. It makes for some sobbering reading considering what has happened in the last three weeks.

  2. J.Q.

    Thanks for the additional information. The morning paper did note that it was the insurance division. But I do have a question.

    Did the money for the “blowout” come from a separate fund? Is the insurance division totally separate so that it won’t be the recipient of any of the billions of dollars given to AIG?

    I guess when the average family – whatever that is – has a financial crisis, all members have to sacrifice. I just think the perception of this “blowout”, even if it is somehow justifiable gives the impression that these Wall Street companies are laughing behind our backs.

    I just read a snippet in the morning paper that AIG’s retirement accounts lost $2 trillion in the past 15 months. That means those who thought they had a nest-egg for their retirement now have to be wondering how secure that retirement really is.

  3. J. Q. Taxpayer says:

    The Insurance Division is a stand alone division. The funds/operation only get mixed right at the top end.

    You can go online and search AIG annual report and it gives you a great deal of detail. The last report I looked at was for 2007. It showed then it was in big trouble when you look at the numbers.

    My guess the $2 trillion loss is like anyone else. I have no clue how much they have total investment.

  4. Joe Taxpayer says:

    I work for an Top 10 CPG company that is makeing money even during this tough year.
    We still had enough sense to cancel our “Big Bashes” in the name of “doing our part”

  5. clint jenkins says:

    We have been pimped out! I want hearings and insight into the govt. We need term limits in congress to help eliviate the power of certain congressmen. The guys in congress now know too well how to pimp out the American people. If a guy only had eight years in congress it would be harder to find the loopholes, and form relationships with big business.
    We need to find out why banks felt so damn secure to loan money to people who didnt deserve a home based on lodgic. We need to find out the reaction of citi to lawsuits based on discrimination and how that may have lead to lacks lending practices.

    I must say again, when everyone gets a home, everyone is now equall, equaly miserable. Housing is not a right. Healthcare is not a right. And even if you like Govt healthcare, it is now an impossibility because that money is wrapped up in some undiserving persons mortgage.

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