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Tuesday, March 17, 2009

Absolutely Impossible to Grap

We now know that the obama administration thinks that AIG stands for Absolutely Impossible to Grasp. After all, the US has controlled AIG since last fall, and yet, Obama seems shocked at first that AIG paid out taxpayer hundreds of millions of dollars in taxpayer money in bonuses. How dumb are they? I could have told them that AIG would pay bonuses like that unless action was taken to stop them, and I have never looked at AIG in detail, never!

In the last two weeks when AIG was given an additional 30 billion in federal money, it would have been easy for a condition to be place on the "investment" that required the suspension of all bonuses, or the limitation of bonuses to 5% of base salary. AIG might have breached employment contracts, but so what. It would be easy to argue that the intervening force of the government prevented performance of those emplyment contracts. Even if a court someday rules that AIG had to pay in any event, the political damage from the bonuses could have been avoided.

Obama and his minions, however, seem unable to grasp the reality of the situation. I guess they are too busy running in campaign mode to actually govern. Maybe if Tim Terrific at Treasury had managed to hire some asistants rather than running to photo ops, proper action could have been taken.

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