North Carolina AG goes after Bank of America bonuses

[deminks]

http://www.cnbc.com/id/29184468

Bank of America, which has received $45 billion of taxpayer money in the last four months, should not be paying out bonuses to its employees and must justify why it is doing so, the attorney general of North Carolina, the bank's home state, said.

"I am appalled that 2008 bonuses would be distributed, given the current circumstances," Attorney General Roy Cooper said in a Feb. 12 letter to the largest U.S. bank. "I expect an explanation from the board as to the appropriateness of any bonuses while public money is being provided to the bank."

Cooper is also investigating the timing and scope of 2008 bonuses paid by Merrill Lynch, which Bank of America bought on Jan 1. The Charlotte-based bank is due to pay bonuses on Sunday, Cooper said.

(snip)

New York Attorney General Andrew Cuomo is also investigating the Merrill bonuses. In a letter to Rep. Barney Frank, who chairs the House Financial Services Committee, Cuomo said Merrill gave at least $1 million to each of nearly 700 employees.

Silvestri said Bank of America is paying bonuses to associates based on the $4 billion it made in profit during 2008. Bonuses have been reduced by more than 60 percent, on average, from 2007, he said. Chief Executive Kenneth Lewis and other top executives are receiving no bonuses, and the next rung of executives are seeing bonus payouts cut by 80 percent, Silvestri said.

(end snip)

via AmericaBlog

http://www.americablog.com/2009/02/nc-attorney-general-goes-after-boa.html

[SammyWinstonJack]

1. knr

[Bandit]

2. Can someone explain to me why tax payers would give them $45 billion

when they had a Profit of Four Billion Dollars last year? Something is extremely wrong with this picture....

[unc70]

9. BorA made profit; M-L lost billions but paid bonuses in 2008

BorA has not announced bonuses yet. Read the WSJ article from two Thursday's ago about Fed playing hardball and forcing them to complete acquistion of ML.

[blm]

11. I've been phoning BoA offices every time a news story pops up about this....

I want them to know their average customer is PISSED.

[izquierdista]

3. Oops!

I think the bank execs are soon going to feel like they fed a bunch of gremlins after midnight. I just wish state Attorneys General could multiply as fast as gremlins!

[Triana]

4. Our AG rocks....

...I like him.

[ms liberty]

5. K&R for Democratic AG of my BLUE state, NC...

I never get tired of saying that...my BLUE state - NC!

[blm]

7. It's BEEN BLUE since 2004 - they just couldn't even steal it in 2008.

.

[marions ghost]

10. right

n/t

[Alcibiades]

6. Go, Roy, go!

Now, if only we could get the folks in Delaware and South Dakota to do the same.

:kick: :kick: :kick: :kick: :kick:

[libnnc]

8. Roy doesn't mess around

:thumbsup: