Washington

American International Group was highly critical of a special master’s decision to slash payments for its top employees by 91 percent for the remainder of the year, warning the response to “public concerns” about high compensation at firms receiving federal aid may ultimately backfire.

The response came in a retention payment disclosure filed with the SEC in reaction to a document released by Special Master Kenneth Feinberg slashing cash compensation to the top-25 AIG employees as part of his authority under the Troubled Asset Relief Program.

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