Posted on 24 Mar 2009
Late Monday New York Attorney General Andrew Cuomo announced that 15 of the top 20 recipients of $165 million in retention bonuses from American International Group Inc.'s Financial Products unit have agreed to give back their bonuses -- amounting to an excess of $50 million in cash.
Of the $165 million in controversial bonuses, 47%, or about $80 million of it, was given to Americans, Mr. Cuomo says. He is aiming to recoup that amount for AIG. He added that some non-Americans, beyond the reach of his jurisdiction, have returned their bonuses. Mr. Cuomo says his office is working both with AIG executives and with individual bonus recipients to get the bonus money back.
"I applaud all the AIG employees that are returning the bonuses," said Mr. Cuomo in a conference call. "They are doing the right thing."
He added that he sees no public interest in revealing the names of people who return their bonuses, and he acknowledged that returning the money is a difficult decision for many people in the unit who were not involved in creating the problematic transactions that toppled AIG.