AIG: Just When You Thought It Couldn’t Get Weirder

I had AIG insurance, and when I called THEM, they couldn't find any of my records. You had better check on your insurance Jim. My accountant told me to drop them, so I did. And by the way, I'm not getting any money back. All is lost. Yeah, it's kind of a bizaro world.

So, the people in Congress that gave AIG this money didn't think to do any due dilligence whatsoever, they just said here is $200B and we wont even ask if there are any employee bonus contracts, that is shame on Congress. How stupid are they?

This doesn't come up until after they give them three infusions of cash?

Come on, who believes this? No due dilligence was done before the money was given to them? Baloney.

Hi Jim,
I'm glad to see you are putting this out here. I sort of thought that maybe there was more to this story than the news media was reporting. But you've pretty much told the whole AIG story here, that no, there's nothing more than just greed on AIG's part, and stupidity on the government's part for not making NO BONUSES a REQUIREMENT of taking government (our) money.
I feel better now. I thought I was missing something.
Laurie from Jersey

It's hard to believe that in a country so smart, we could be so stupid.

Yeah anyone paying attention at just the last 8 years not to mention 20 would notice that we are at least living a bizaro country with an even Bizaro Government,Just look at it big business seems to have more pull with the gov't (Lobbyist or no lobbyist They still have major) There was a time when everyone including Big Business had to live a survival of the fittest life like the rest of us, any aid to us the people have always been limited and poor, small business are barely a blimp on the gov't radar like us small business owners have no effect on the economy. Yet Billions wasted for C.E.O'S still live extravgant lifes.

Viva la France? Hello UK? hmmm these countries have a great grasp of Democracy use the strength,power and wealth to help every citizen in the country Heck French Gov't is pretty much afraid of it Citizens that they actually listen to us, Yet for us it is a flip we fear and the gov't is feared weird logic I would rather have a gov't which is suppose to represent the people do that job and fearing us would assure they would that Job. FRANCE OR UK HERE I COME!!!

"Where the rewards for narcissistic psychos are greatest, there you will find the greatest number of narcissistic psychos." (paraphrasing Pericles)

Since American government branches and organizations were transformed into a sanctuaries for the criminally insane, it was only a matter of time that the American economy would be captained by greedy madmen.

Lucky us! Rule by the insane has arrived!

If any one of the "experts" were not insane, they would petition congress to immediately cancel all consumer debt. All mortgages; all credit card debt, and car loans, etc., CANCELED! That act would not have required the fed to print another dollar.

But, they are not only insane, they're incompetent as well.

DUDE!!!!

WHAT THE HELL??? I want to a C.E.O or Chairman or a board member of a company I can tell people what to do act like I know what I am doing, making bad decisions and run the company in to the ground get a handout for the company while the company still pays for phones, cars, jets, houses and plus pay bonus.

ONLY IN AMERICA!!!!

They're a bunch of idiots at AIG. I hope the government takes back the last $30B bailout and let AIG see how they stand without the bailout money.

Oh, did I mention...I work for those idiots? When I go out for lunch, I make sure I put away my ID badge so it won't show in public.

Hey Jim, I hope people realize that theres not much if anything that can be done about bonuses that are contractual. The politicians from the 'top' down are all posturing knowing or being advised that a contract is a contract, but looking 'active' to the public is important since we are basically naive or ignorant about real business matters. The bonus amount that we hear is approx .1% of the bailout amount so far. Does that make it ok of course not, but we should focus our attention on public and private morals and the choices people make. Greed made many people refinance their mortgages to get cash out, and the next step was the finanical institutions that also greedily took all the lousy commerical paper to get high returns.

Wow maybe High School Kids should run Congress for a week they might be able to do a better job then these insane fools.

Bush Bailout banks first but with nothing return should have at least returned people to their homes and collected monthly payments back under a newly created Angency which would have ensured that a revenue stream other then taxes would be coming in for money spent.

Next before any new bailouts each company should have a total review every company before any handout. They should be forced to lower board member salaries, liquidate any excess assets company owned homes, excess company cars, Company paid drivers, Excess company owned Private Jets,They should show attempts to build cash beside layoffs.

Wow maybe High School Kids should run Congress for a week they might be able to do a better job then these insane fools.

Bush Bailout banks first but with nothing return should have at least returned people to their homes and collected monthly payments back under a newly created Angency which would have ensured that a revenue stream other then taxes would be coming in for money spent.

Next before any new bailouts each company should have a total review every company before any handout. They should be forced to lower board member salaries, liquidate any excess assets company owned homes, excess company cars, Company paid drivers, Excess company owned Private Jets,They should show attempts to build cash beside layoffs.

On another related note, ever hear from a city union employee about being told not to work so hard? Well I have a neighbor and a relative who wer both told by supervisors nto to work so hard. Both work for the MTA one in buses one in subways. Both started jobs sincerely and thankfully and after they showed they would actually work 'right' they were shut down. My cousin gave up and transferred to a job out of the workshop where he worked alone in repairs. The neighbor just backed down and continues to worl slow and easy just counting time. Wonder why the city has money woes, sadly its the unions probably more than creative financing by the MTA using borrowed money. And hey lets shut down the 2nd ave subway, a boondoogle used to provide jobs and votes.

First the inept government employees that handed over our money to these crooks should be fired.

Next the fool in the suit that said in order to keep these talented execs they should be given millions in bonuses. Duh! These talented execs already failed miserably and lost billions. These talented execs have no place to go except the unemployment line. The country is now flooded with these talented execs. No body wants them and there are fewer companies left that could want them.

The execs refuse to tell the gov. how they're spending the bailout money, and the govt. failed to mention the info discloure was part of the deal. Then the execs refuse to tell the names of who's getting the millions in bonuses paid for by the taxpayer. The insane coupled to the insane.

What Dennis said should be incorrect. When a company goes under, or borrows money from the government, all bonuses should be null and void, as should their contractual obligations.
The borrowed money should go for the "GOOD" of the company, not to payouts that were promised in the past.

The name of that TV show, it applies to AIG.

I think it's a SHAME. Why are they rewarding these people for a job that obviously was not well done. Are these people so pampered they don't know whats going on in the real world. They are lucky they are not walking the pavement looking for work like thousands of other people. Maybe they should look for some HONEST,TALENTED PEOPLE to take their places.

So wait a minute, you mean AIG just blew 300 billion out of the 700 billion the government has given to them to "treat the symptoms of the problem"? That money was given to AIG so AIG can buy back the mortgage backed securities and they haven't bought back zilch, but they're REAL quick to dole out bonuses in the tens of millions to the executives. The same ones who are sitting around doing nothing. The government should NOT have given a red cent to AIG, that money would have been better spent elsewhere.
Jim, to answer your question, I say we are headed straight toward the Land of BS. I can smell it from miles away, can YOU?

Oh and Jim, and as far as you being insured by AIG, I'd think twice about whether that's actually the case or not. What with this switcheroo that AIG is pulling, can you really expect them to give anything back to you? With what money? They're already helping themselves to the gobs of money that the gov't dropped on them, and then cloaking it under the term "contractual obligation". As someone else above pointed out, if I were you, I'd pull out of AIG and I would do it FAST. It would be tiresome having to look for a new insurer elsewhere but in the end, it may very well be worth the peace of mind knowing that you would be insured by a more reputable company than AIG at the moment.

I think the wife and family of Madoff knew all about what was going on and that's the reason he plead guilty. I just don't get it, when a drug dealer has drugs in his car and he gets arrested in some states the government take his car and all his assets. Why is it different for Madoff? Anything he had should go to the people who lost money. However the people that invested with him I do not feel sorry for them. They gambled without the horses. Did they NOT know that the stock market has risk? They invested with him because they would see huge interest rates plain and simple. If they invested in Government bonds they wouldn't see as much interest, but they wouldn't be where they are today. Greed begets greed and Madoff turned the tables. Looks good on them. I always invest in sure things, I don't gamble, even without the horses.

Daniel .......... Toronto

Given the avarice of AIG, it should die a painful death. The world will be a better place without it.

Jim:

I can not settle this in my mind. If there was no bailout, the company would have gone bankrupt. Now that there is a bailout, there's money to pay bonuses.

The news is reporting that it's legally necessary to pay the bonuses. How can that be?

I am not a lawyer, however, I strongly reason that IF taxpayer money was not given last fall, the company WOULD have gone bankrupt. This, I argue is an unprecendented situation which I think creates a legal precedent that could be reasonably argued NOT to pay bonuses.

The company is 80% owned by taxpayers...meaning that they are accepting welfare. If you are an individual and are accepting welfare you can't earn over a certain dollar amount or your welfare payments cease. The same rules should apply to companies.

I can't believe I am even writing about this. What ever happened to their (AIG) own self respect and admitting that they really messed up, hurt themselves, their company and their country? How can they even stand up and ask for the money?

It's appalling.

You want to know where AIG's own self-respect is? Well here's the answer: They have none! There is no pride or self-respect when it comes to being unabashedly greedy. That's why they can stand up and ask for the money in the first place. They have no shame.