President Obama branded Wall Street bankers “shameful” on Thursday for giving themselves nearly $20 billion in bonuses as the economy was deteriorating and the government was spending billions to bail out some of the nation’s most prominent financial institutions.
This article says no, not exactly the same funds, but it certainly gives the financial institutions more leeway in funding the extravagant bonuses.
Applause to Obama for scolding the bankers, but will it matter? The US can not–will not–put legal limits on compensation by private industry. Why not make it a condition of the bailout to begin with–bonuses stop until the bailout money is repaid.
That would be effective, eh?