Manzullo: Taxpayers Need Answers on AIG Bonuses

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March 18, 2009

FOR IMMEDIATE RELEASE

Contact: Rich Carter
(815)356-9800

Manzullo: Taxpayers Need Answers on AIG Bonuses

[WASHINGTON]  Congressman Don Manzullo (R-IL) is participating today in a major Congressional hearing investigating why AIG, a recipient of billions of dollars of taxpayer bailout funds, awarded its executives with $165 million in bonuses last week.

Manzullo delivered the attached statement this morning during a hearing of the House Financial Services Subcommittee on Capital Markets, Insurance and Government-Sponsored Enterprises, of which Manzullo is a member. Manzullo is planning to question AIG CEO Edward Liddy when he testifies later today, which will be carried live on most of the cable news networks and will be streamed live on the committee's website. Manzullo’s opening statement can also be seen on his YouTube channel.

OPENING STATEMENT OF CONGRESSMAN DON MANZULLO (R-IL)

“I questioned Neel Kashkari about TARP on December 10^th and asked him if he was going to ask for a $3 million dollar bonus back from one individual. He said, it could be deferred compensation and ostensibly not returnable.  Deferred compensation for what?

I represent Rockford, Illinois, the largest city with 14% unemployment. People are losing their jobs, factories are closing. They’re taking cutbacks, working odd shifts, and taking late night shifts. They aren’t being paid to destroy the economy—they’re being paid to invigorate it.

They’re sitting in this seat today, all 740,000 of them, wondering, how could government do something so stupid as to allow these people to make that kind of money and then sit back and everybody point fingers at each other?

We want some answers today.”

Rock Valley College offers free financial aid for college students.

RVC Financial Aid Guidance Free to District Residents

Contact: Nancy Chamberlain, 815-921-4517

Tuesday, March 10, 2009

The Rock Valley College Financial Aid Department would like to remind the community that it is a free resource for all college bound students in the district, whether or not the student attends RVC. The Financial Aid Department at RVC can assist students in completing the FAFSA form, provide information on how to apply for scholarships, and talk to students and organizations about financial aid in general. Many outside companies charge for this type of service.

Please call the Rock Valley College Financial Aid office at 815-921-4150 before paying any agency for these services.

Caterpillar layoffs": Caterpillar to lay off another 2,454 workers -- chicagotribune.com

Caterpillar Inc., gearing down production even further in response to still-eroding global demand, disclosed plans Tuesday to idle an additional 2,454 U.S. workers, including 1,726 in Illinois

Caterpillar layoffs": Caterpillar to lay off another 2,454 workers -- chicagotribune.com

March Update: Beginning FY 2009 Income for Boone County Government Down 10.75%

This is a continuation of a monthly analysis of Boone County’s non-real estate tax revenue flows.  Although there are a few other minor revenues, the major revenue is from five sources:  Public Safety Sales Tax (CPTS), Sales Tax 1/4 (CST), Sales Tax 1 cent (CT), Personal Property Replacement Tax (PPRT) and State Income Tax.  All the raw numbers are those supplied by the County Administrator,  Mr. Terrinoni, to the County Finance Committee.  Click on the individual photocopies to make them larger. 

To view previous months analysis go to : http://boonecountywatchdog.blogspot.com/2009/02/february-update-income-to-boone-county.html for February and http://boonecountywatchdog.blogspot.com/2009/01/income-reports-from-county-government.html for January 2009.

There is a continued downward trend, all five revenue streams are now short of projections. The shortages range from 8.3% to 26.92%;  for those four revenues which occur monthly the range is 8.3 to 10.66%.  Revenues from the five sources are down 10.75% from projections.  Total  revenue from these five sources is increasingly downward—January   -4.27%, February –7.6% and now for March - 10.75%.

The accumulated shortage is now $198,942.  The original budget indicated that if there was a recession, a $300,000 deficit to the original budget was probable.  Back in January[click on the citation that follows to read the entire story http://www.rrstar.com/boone/x1621254117/Boone-officials-expect-budget-shortfall], Finance Committee Chairman Karl Johnson was paraphrased by the Rockford Star as saying :  holding off on spending might not be enough to make up for a shortfall, but officials want to monitor income and the effect of reduced spending through at least April before making any major moves.  I contacted the County’s Assistant Administrator and apparently department discussions concerning  budget revisions are going to begin in May 2009.  So that January statement appears to be still in effect.

 

 

 

 

 

Stimulus needs best safeguards - BostonHerald.com

Openness and transparency are necessary characteristics for the Stimulus Package but it may not be cheap—so warns Massachusetts Governor and its  Attorney General.

Stimulus needs best safeguards - BostonHerald.com

Both federal and state authorities move on AIG’s current administration regarding bonuses and CDS’s

President Obama vowed to try to stop the faltering insurance giant American International Group from paying out hundreds of millions of dollars in bonuses to executives, as the administration scrambled to avert a populist backlash against banks and Wall Street that could complicate Mr. Obama’s economic recovery agenda.  See more of the story, by clicking the following:

Obama Orders Treasury Chief to Try to Block A.I.G. Bonuses - NYTimes.com

New York State Attorney is also after the AIG bonus people.  Click on the following: 

Cuomo Seeks A.I.G. Bonus Information - DealBook Blog - NYTimes.com

On the matter of CDS’s,  the list of top recipients of AIG payoff’s from rescue funds is finally out.

 Click on the citation below and take a look:

A.I.G. Lists the Banks to Which It Paid Rescue Funds - NYTimes.com

Newspapers' troubles escalate in recession | csmonitor.com

If you are reading this—you and I are part of the problem.  Click on the citation below to view the story:

Newspapers' troubles escalate in recession | csmonitor.com