Liddy Says Some AIG Employees Will Return Bonuses; Frank Threatens to Subpoena Names
AIG CEO Edward Liddy said today that he’s asked AIG employees who received bonuses larger than $100,000 to give half the money back, and that some AIG employees have agreed to give the entire payment back. But Liddy refused to provide Congress with the names of who’s given back what, noting that AIG employees have been threatened and he fears for their safety.
Rep. Barney Frank (D-Mass.), who chairs the House Financial Services Committee (a subcommittee of which is holding the hearing where Liddy is testifying) said he might subpoena the names of AIG employees who received bonuses, after consulting with law enforcement.
Earlier, Liddy testified that he’s been communicating for the past three months with the Federal Reserve about payment of these bonuses, though he didn’t know if the Fed has communicated that information to Treasury Secretary Timothy Geithner. Geithner has said he only learned about the bonus payments two weeks ago.