WASHINGTON–Treasury Secretary Tim Geithner said late yesterday that his agency is working with the Department of Justice to determine "what avenues" can be used to recoup taxpayer dollars used to pay bonuses to executives of American International Group's troubled Financial Products unit.
He also said that, in order to ensure taxpayers are compensated for any monies "we cannot recover," the government will impose on AIG a contractual commitment to pay the Treasury from the operations of the company the amount of the [$165 million] retention awards just paid."
Moreover, "we will deduct from the $30 billion in assistance an amount equal to the amount of these payments," Mr. Geithner said.
Recommended For You
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
