Media

As a result of extraordinary abuses of the public trust by companies rewarding employees with excessive compensation while receiving billions in taxpayer assistance, today the House passed legislation (HR 1586) by a vote of 328-93 to hold companies, including American International Group (AIG), accountable for the bonuses that were paid to their executives. The bill will impose a new 90 percent tax on bonuses received by executives who worked at companies, such as American International Group (AIG), that received more than $5 billion in taxpayer assistance.

After receiving more than $170 billion in taxpayer funds, AIG paid $165 million in retention payments to executives most of whom have mismanaged their company into near bankruptcy.

“I'd also like to acknowledge the Congressional Hispanic Caucus. They have been the lead in so many issues, including this relationship between U.S. and Mexico. We're such close neighbors, our fates are tied in many ways, our challenges are significant, and the relationship between our two countries is the issues of the highest priority to this Congress."

“I believe the President is on the right path and did an excellent job in his leadership when we passed the recovery act here. This Congress is moving forward with regulatory reform to address the lack of regulation supervision and discipline in the financial markets that brought us to this place. The President's initiatives on housing will help people stay in their homes - addressing the housing crisis is essential to addressing the financial crisis in our country. And then we have to deal with the stability of our financial institutions."

President Obama called on Congress to create new opportunities for Americans to build a stronger country by helping students perform better in school, prepare Americans for green and innovative 21st century jobs, rebuild cities in times of disaster, improve communities and much, much more. This afternoon the House passed the Generations Invigorating Volunteerism and Education (GIVE) Act, H.R. 1388 - legislation that answers his call. The GIVE Act launches a new era of service that will give Americans of all ages an opportunity to invest through service in our nation's recovery. With our public needs intensifying in this recession, there's no better time to support and energize community service and volunteerism to help our country get through this economic crisis, restore confidence and prepare our nation for the future.

The Chairman and CEO of the American International Group (AIG) Edward Liddy testified before the House Financial Services Subcommittee on Capital Markets, Insurance, and Government Sponsored Enterprises this afternoon. Read Mr. Liddy's prepared testimony>>

Chairman Frank (D-MA) and Mr. Liddy:

Chairman Frank: "You've said some people are giving the bonuses back. I'm now asking you to send us the names of those who have received bonuses who have not given them back. Can you do that?" Liddy: "Sir, I will if I can be absolutely assured that they will remain confidential."

We have an obligation to care for and honor America's servicemen and women, their families, and our veterans for their bravery and sacrifice. Under current policy, the Department of Veterans Affairs (VA) is responsible for paying for the treatment of any injuries or disabilities resulting from a veterans' service to their country and veterans, or their private insurers, are responsible for paying for health care costs that are unrelated to their military service. A recent proposal under consideration by the Administration would have allowed the VA to bill veterans' private insurance companies for the treatment of service-connected injuries or disabilities.