Dinallo: AIG Boondoggle Not Worst Idea Ever

Even Eric Dinallo admits AIG’s (AIG) $440,000 executive bash, which took place at the St. Regis in Monarch Beach, California a week after the company’s bailout by the feds, may not be the example of outrageous corporate excess that assorted Congressmen are making it out to be:

New York State Insurance Superintendent Eric Dinallo told the committee there may have been some good reasoning behind what he called ``profligate'' spending. AIG might have been taking steps to stem an exodus of employees, which would have been the ``absolute worst thing'' that could have happened to the company at the time, he said. [Emph. added] 

It definitely helps when the big producers are happy. By way of analogy, I used to work pretty closely with a bunch of big-hitting retail brokers. Believe me, they liked to be pampered. .

Comments

[venividivici:]

I am not an American but I have to wonder when are you Americans going to become outraged by these disgusting people?. They simply do not know how to take their snouts out of the pig trough and that is because they are never punished in any meaningful way for their outlandish behaviour so I can't blame them. Hey we get away with this every time!!!! WAKE UP AMERICA. THese people may have destroyed the whole financial system and they are still being rewarded. Am I the only one who is seething with rage at the absurd injustice of it?.

2008 Oct 08 10:11 AM

[helplessobs...:]

Well spoken vendi.

2008 Oct 08 11:45 AM

[williambanzai7:]

A $370,000 spa tab and a $37 Billion top up on the bailout. Hmmmm..

It is becoming increasingly apparent that AIG is the hazardous waste dump of the new millennium. Goldman, Merrill and others dumped their toxic liabilities on the Sponge Bobs running AIG. Now taxpayers are paying for the cleanup, the costs of which are rising in the billions literally by the day. Why don't we do what we did under the super fund legislation. Force the responsible parties to pay up on a strict liability basis. Lets ask Goldman et al to clean up the financial Love Canal.

2008 Oct 09 03:51 AM