![](http://investorshub.advfn.com/images/default_ih_profile2_4848.jpg?cb=0)
Monday, January 11, 2010 2:05:24 PM
http://www.cnbc.com/id/34808026/
New York's attorney general asked eight major U.S. banks to turn over data on planned bonuses for 2009, amid a growing public outcry over payouts in light of the industry's role in the near-collapse of the financial system and recession.
Bankers Bonus
iStockphoto
Andrew Cuomo made the demand Monday to the banks that were first to receive federal bailout money in the fall of 2008: Bank of America [BAC 16.91 0.13 (+0.77%) ], Bank of New York Mellon [BK 28.9501 -0.5799 (-1.96%) ], Citigroup [C 3.63 0.04 (+1.11%) ], Goldman Sachs Group [GS 170.80 -3.51 (-2.01%) ], JPMorgan Chase [JPM 44.4595 -0.2205 (-0.49%) ], Morgan Stanley [MS 31.89 -0.36 (-1.12%) ], State Street [STT 44.29 -1.22 (-2.68%) ] and Wells Fargo [WFC 28.64 -0.22 (-0.76%) ].
These banks have all repaid infusions taken from the government's much-maligned Troubled Asset Relief Program (TARP), though some of the U.S. investment in Citigroup has been converted into common stock.
In letters to the banks, Cuomo requested details by Feb. 8 about bonus pools, whether cash or stock is being used in awards, mechanisms designed to tie pay to performance, how TARP money affected the payouts, and whether any awards can be recouped in case the banks' fortunes later sour.
RELATED LINKS
Current DateTime: 10:58:16 11 Jan 2010
LinksList Documentid: 34808032
* Goldman Execs May Be Forced to Give More to Charity
* Banks Lift Executives' Salaries as They Cut Bonuses
* Time for Banks to Boost Bonuses: Silva
* All the Latest Headlines From CNBC.com
"Some banks made a lot of money because, in some cases, taxpayers gave them a lot of money," Cuomo said at a news conference. Citing the nation's 10 percent unemployment rate, he added: "The taxpayer is still paying that cost."
Cuomo said he favors bonuses that encourage business practices that can spur "long-term sustainable growth," not the "fictional" short-term profits that he said "brought this nation to its knees" in 2008.
Bonuses typically comprise the bulk of annual compensation for the most highly-paid bankers and traders, regularly reaching seven-figure and, occasionally, eight-figure sums.
The eight banks were not immediately available for comment.
While some bonuses may this year contain a larger percentage of stock, to reduce any temptation to take outsized risk, large payouts are likely to provoke the ire of Congress, governance critics and shareholders.
Many banks, in contrast, say high payouts are necessary to keep top talent that might otherwise defect to rivals.
White House spokesman Robert Gibbs said on Monday that some executives at Wall Street firms "continue not to get it" when it comes to big bonuses at banks that got taxpayer bailouts.
He declined to comment on news reports that the Obama administration is weighing a fee on banks to recoup more taxpayer funds spent on the financial system rescue.
A congressional commission is expected on Wednesday to begin a hearing into causes of the financial crisis, including whether the desire for high pay drove outsized risk-taking.
Speakers are expected to include Bank of America Chief Executive Brian Moynihan, Goldman Chief Executive Lloyd Blankfein, JPMorgan Chief Executive Jamie Dimon, and Morgan Stanley Chairman John Mack.
Recent COOP News
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/30/2024 08:07:34 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 05/24/2024 08:36:48 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/24/2024 08:33:25 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/24/2024 08:28:46 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/24/2024 08:26:19 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/24/2024 08:24:11 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/24/2024 08:22:07 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/24/2024 08:19:44 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/24/2024 08:17:44 PM
- Xome Democratizes Real Estate with Launch of DIY Sales Platform, No Agent Required • Business Wire • 05/22/2024 01:00:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/15/2024 10:47:32 PM
- Form DEFA14A - Additional definitive proxy soliciting materials and Rule 14(a)(12) material • Edgar (US Regulatory) • 05/15/2024 12:11:30 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/10/2024 12:12:48 AM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 05/07/2024 08:22:09 PM
- Mr. Cooper Group Reports First Quarter 2024 Results • Business Wire • 04/24/2024 11:00:00 AM
- Mr. Cooper Group Announces Two New Senior Leaders • Business Wire • 04/23/2024 01:00:00 PM
- Mr. Cooper Group Inc. to Discuss First Quarter 2024 Financial Results on April 24, 2024 • Business Wire • 04/05/2024 03:37:00 AM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 03/11/2024 09:34:36 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 03/04/2024 11:05:39 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 03/04/2024 11:04:15 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 03/04/2024 11:03:04 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 03/04/2024 11:01:41 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 03/04/2024 10:59:25 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/26/2024 09:28:25 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/14/2024 09:15:59 PM
Bantec's Howco Short Term Department of Defense Contract Wins Will Exceed $1,100,000 for the current Quarter • BANT • Jun 25, 2024 10:00 AM
ECGI Holdings Targets $9.7 Billion Equestrian Apparel Market with Allon Brand Launch • ECGI • Jun 25, 2024 8:36 AM
Avant Technologies Addresses Progress on AI Supercomputer-Driven Data Centers • AVAI • Jun 25, 2024 8:00 AM
Green Leaf Innovations, Inc. Expands International Presence with New Partnership in Dubai • GRLF • Jun 24, 2024 8:30 AM
Bemax Inc. Positions to Capitalize on Industry Growth with New Improved Quality of Mother's Touch® Disposable Diapers • BMXC • Jun 24, 2024 8:00 AM
Last Shot Hydration Drink Announced as Official Sponsor of Red River Athletic Conference • EQLB • Jun 20, 2024 2:38 PM