AIG has been taken to task on how they spent over $140 million on bonuses for past and current employees. At best, they are in need of a re-education in management marketing 101. Their classmates could be the leaders within the automobile industry who came to Washington D.C. in corporate jets to beg for money. I personally have less heartburn over $140 million in bonuses from a company worth trillions of dollars than I do from an organization that wastes billions of taxpayer dollars each year.
Congress has continued to mismanage taxpayer money. In fact, this organization can authorize its own taxpayer-funded pay raise without any taxpayer input. Recently a portion of its members went on a retreat at taxpayer expense to discuss of all things, the economy. Congress could have easily accomplished this in their normal workplace, but perhaps the U.S. Capitol is not the right place to discuss such issues. “We’re very mindful” of perceptions, House Democratic Caucus Chairman John Larson told reporters Thursday camped outside of the sprawling Kingsmill Resort & Spa in Williamsburg, Va., where House Democrats spent about $100,000 on their three-day annual retreat. “It’s serious and it’s from morning till night. We’ve been dwelling, rightfully, on the economy,” said Larson, D-Conn.
If Congress is going to examine how a private firm spends a taxpayer-funded bailout, who is there to monitor congress? I also find it ironic that many of the loudest critics of AIG action kept their jobs through AIG generosity.
From www.OpenSecrets.org (http://www.opensecrets.org/news/2009/03/before-the-fall-aig-payouts-we.html)
"Over time, AIG hasn't shown an especially partisan streak, splitting evenly the $9.3 million it has contributed since 1989. In the last election cycle, though, 68 percent of contributions associated with the company went to Democrats. Two senators who chair committees charged with overseeing AIG and the insurance industry, Sen. Chris Dodd and Sen. Max Baucus are among the top recipients of AIG contributions. Baucus chairs the Senate Finance Committee and has collected more money from AIG in his congressional career than from any other company--$91,000. And with more than $280,000, AIG has been the fourth largest contributor to Dodd, who chairs the Senate's banking committee. President Obama and his rival in last year's election, Sen. John McCain are also high on the list of top recipients. AIG has been a personal investment for lawmakers, too. Twenty-eight current members of Congress reported owning stock in AIG in 2007, worth between $2.5 million and $3.3 million. Sen. John Kerry one of the richest members of Congress, was by far the biggest investor in AIG, with stock valued around $2 million"
The way to mitigate the influence of business in the halls of congress is to restrict all political campaigns at all levels to a fixed taxpayer-funded dollar amount; $98 million for presidential campaigns (primary dropouts forfeit the balance) and tiered lower based on political office. A fixed amount would prove how well a politician could manage a budget, and would allow them to focus on leadership and policy concerns rather than fundraising. My guess is that this will never happen, as it will come down to a congressional vote to mandate such a change. It will also face court scrutiny as anyone claiming to be a "political party" and it's candidate will look to receive the same consideration. I am open to a wider field, but then you degrade into a pathetic coalition-building, parliamentarian form of government.
The intent of this article is NOT to dismiss the actions of AIG, but rather point out the hypocrisy of congress in its "moral outrage". Perhaps congress will listen to one of its founders:
The world is full of fools and faint hearts; and yet everyone has courage enough to bear the misfortunes, and wisdom enough to manage the affairs, of his neighbor. - Benjamin Franklin
If that is too ancient a quote, perhaps they will listen to H. G. Wells who said, "Moral indignation is jealousy with a halo."
