Home
Archive
Newsletters
Video
Blogs
Discuss
About
Search
Donate
Advertise
  • AlterNetYour turn

Support AlterNet
Do you value the information you're getting from AlterNet? Please show your support with a tax-deductible donation.


Feedback
Tell us how we're doing.

Advertisement
Advertisement

Busted: AIG Caught Living High on the Hog with Taxpayers' Money (Again)

Posted by Ben Armbruster, Think Progress at 3:16 PM on November 12, 2008.


AIG CEO Edward Liddy should be in jail.

Share and save this post:

      

      

Share on Facebook       

AlterNet Social Networks:
follow us on twitter
find us on Facebook

Got a tip for a post?:
Email us | Anonymous form

Get Video in your
mailbox!

 

Last month, a House committee discovered that just one week after the federal government bailed out insurance giant AIG, company executives went on $500,000 retreat to a luxury resort. Rep. Elijah Cummings (D-MD) asked in astonishment, "Have you heard of anything more outrageous?"

But yesterday, just as the federal government agreed to increase its bailout package to AIG, ABC News's Brian Ross reported that the company's executives gathered last week at a posh resort in Phoenix for a business conference, complete with "cocktail parties, limousines, and dinner out at a top restaurant." AIG "instructed the hotel to keep its involvement secret, no signs with its name allowed." Watch the report:





AIG CEO Edward Liddy defended the extravagant conference on CNN last night, claiming that the lack of signage was a result of cost cutting measures. "[W]e are really cutting corners. We're doing the same thing the American taxpayer is doing," Liddy said. "We are tightening our belts. We didn't use any signage."

Watch it:



Cummings has now called on Liddy to resign. "That a firm already reliant on taxpayers' funding would organize such an event is outrageous," Cummings said.

Digg!

Tagged as: congress, ceos, economic crisis, taxpayers, aig, taxpayers' money, aig ceo edward liddy

Benjamin J. Armbruster is a Research Associate for The Progress Report and ThinkProgress.org at the Center for American Progress.


GOP Senator Lindsey Graham Breaks Ranks, Admits "The Green Economy Is Coming"
Finally, one member of the GOP has a slice of reality pie.
Post by Staff. November 5, 2009.
Iowa Wingnut Steve King Lauds Lobbyists as American Heros for Bussing in Health Reform Protesters
Astroturfing earns praise from the GOP rep.
Post by Lee Fang. November 4, 2009.
GOP Loon Goes Off the Rails: Health Reform Greater Threat than Terrorism
The government's trying to put you to death, don't you know.
Post by Faiz Shakir. November 2, 2009.
Advertisement
Comments Turn comments off sitewide Give us feedback »
Comments closed.
The comments for this story have been closed. Thank you to everyone who participated.
View:
OK... That's IT!
Posted by: Xynyx on Nov 12, 2008 3:34 PM   
Current rating: 5    [1 = poor; 5 = excellent]
Would someone please snuff these bastards as now as possible?!

WTF?!

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

» RE: OK... That's IT! Posted by: schiffer
» RE:I'll Third that Motion!!! Posted by: Purple Girl
Enough...
Posted by: Tim Chadron on Nov 12, 2008 3:56 PM   
Current rating: 5    [1 = poor; 5 = excellent]
AIG should be given its pink slip, and should be allowed to tank. All CEO and upper management salaries and assets frozen and recovered. Then if they want to reorganize under some proven leadership, money could be added with extreme caution and under incredible scrutiny and restrictive legislation.

If that isn't the case, anyone who voted (or continues to advise that more money be given) to give these "people", should be immediately and forcibly removed from office.

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

» RE: nough... Posted by: snax
» RE: nough... Posted by: maglindracia
Hang 'em High
Posted by: schiffer on Nov 12, 2008 5:26 PM   
Current rating: 5    [1 = poor; 5 = excellent]
#############
# #
# #
# #
# # #
# # #
# # #
# ##
#
#
#
#
#########

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

» RE: Hang 'em High Posted by: schiffer
» RE: Hang 'em High Posted by: Bliss Doubt
treat them the way they do drug dealers...
Posted by: undrgrndgirl on Nov 12, 2008 8:00 PM   
Current rating: 5    [1 = poor; 5 = excellent]
lock 'em up and seize ALL their assets...every last red cent...

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

Capitalism as Extortion
Posted by: dgiVista.org on Nov 13, 2008 2:17 AM   
Current rating: 5    [1 = poor; 5 = excellent]
This is yet another example of how neoliberal market capitalism is essentially social extortion.

Stephen,
Politics, Re-Spun
...de-spinning the political and re-spinning it for social, economic and political justice

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

How about this:Greenburg
Posted by: weathered on Nov 13, 2008 2:17 AM   
Current rating: 5    [1 = poor; 5 = excellent]
is suing AIG!


The chief engineer of theft himself, buys time to go on Charlie Rose to explain himself.

When arrogance has a head-on collision w/denial you can bet MSM will exhault it, if the px is right!

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

Cutting corners?
Posted by: kabac on Nov 13, 2008 6:40 AM   
Current rating: 5    [1 = poor; 5 = excellent]
If Mr. Liddy believes that having no signage at this "sales meeting" is cutting corners for AIG, he needs a speedy education about what real budgeting is. I'm certain there are thousands of people who would love to provide him with a full lesson plan.

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

I have only one thing to say.....
Posted by: DaBear on Nov 13, 2008 9:33 AM   
Current rating: 5    [1 = poor; 5 = excellent]
....1789. Anyone still not comprehending what's required and why?

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

....
Posted by: digitalfrenzy on Nov 13, 2008 9:54 AM   
Current rating: Not yet rated    [1 = poor; 5 = excellent]
AMERICUUUUHHHH.....FUCK YEAH.

This is a personification of everything that America is. Greed, excess, contempt, and self indulgence.

Good job.

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

AIG Fourteen Commandments
Posted by: Dixie Dawg on Nov 13, 2008 9:56 AM   
Current rating: 5    [1 = poor; 5 = excellent]
God thought he could run the world with Ten Commandments.
AIG decided they needed fourteen. They are euphemistically referred to as a
"... Code of Business Conduct and Ethics." Obviously, AIG lead dogs have turned all fourteen into a joke. But, #10 is a real howler.

X. Protection and Proper Use of Company Assets
All directors, executive officers, and senior financial officers should protect AIG’s assets and help ensure their efficient use. All AIG assets should be used for legitimate business purposes only.

If you want more laughs consult
AIG's Code list

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

» RE: AIG Fourteen Commandments Posted by: manderson
Is AIG Asking for Our Help
Posted by: Dixie Dawg on Nov 13, 2008 10:30 AM   
Current rating: 5    [1 = poor; 5 = excellent]
 
AIG's Audit Committee and Board of Directors have established procedures for the receipt, retention and treatment of complaints pursuant to Rule 10A-3(b)(3) under the Securities Exchange Act of 1934 and have established a means for communicating with the non-management members of AIG's Board of Directors pursuant to Section 303A.03 of the New York Stock Exchange Listed Company Manual. 

To report complaints with respect to AIG's accounting, internal accounting controls or auditing matters you may do so: 
 
By writing:

Michael H. Sutton, Chairman
Audit Committee
c/o Internal Audit Division - Investigations Group
American International Group, Inc.
32 Old Slip
New York, NY 10005

Full Sit

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

Dana L. Stern
Posted by: Dana L. Stern on Nov 13, 2008 10:49 AM   
Current rating: 5    [1 = poor; 5 = excellent]
AIG CEO needs to spend some time at Club Fed. That's the resort we need to send all of the CEO's of failed financial institutions! Mulkasey won't do anything! We have to wait until after 1/20/09 end of an error!

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

AIG Management Thinks They're Above the Law
Posted by: Carol Burns on Nov 13, 2008 10:55 AM   
Current rating: Not yet rated    [1 = poor; 5 = excellent]
...and unfortunately, until January 20th, they are, at least the enforcement thereof. When Obama takes office, he will have plans in place, which have been in the works for months. Heads will roll. Pigs will take flight. Wait and see...

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

FAX YOUR LEGISLATORS NOW
Posted by: reelectnoone on Nov 13, 2008 12:04 PM   
Current rating: 5    [1 = poor; 5 = excellent]
Write a letter demanding action and fax a copy to each of your legislators. Their fax numbers are on their web sites. I just did !

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

AIG and greed
Posted by: pana on Nov 13, 2008 3:30 PM   
Current rating: 5    [1 = poor; 5 = excellent]
Amazing...we U.S. citizens are suffering and D.C. is bailing out AIG! AIG should not be saved from what they brought upon themselves because of greed and overblown egos.

Put the management team of AIG in jail, take their possessions, and use that to pay off the people from whom they stole.

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

Dungeon? Why not something more cruel like
Posted by: halg on Nov 13, 2008 4:48 PM   
Current rating: 5    [1 = poor; 5 = excellent]
Taking away all of their assets and sentencing them to minimum wage for the rest of their lives.

I'm living on it, so it can't be too inhumane, right?

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

There are times I Am NOSTALGIC for JOSEPH STALIN!
Posted by: joeocho88 on Nov 13, 2008 5:05 PM   
Current rating: 5    [1 = poor; 5 = excellent]
I HATE COMMUNISM as it was practice in the Soviet Union --especially by that paranoid psychopath with the bushy hair and moustache named Joseph Stalin.

He felt that financiers and bankers were criminals and bandits and that they should all be shot and that is what he did to many of them in Russia.

In the case of these AIG ********, I am of the opinion that it would be a WASTE of good ammunition to make them dig their ditch and then shoot them in it!

I THINK THAT THEY SHOULD BE DEPORTED TO THE CHINESE SLAVE LABOR CAMPS WHERE THEY SUBSIDIZED THE RELOCATION OF JOBS THAT USED TO BE IN THE USA!

Those fat *******s should have to WORK for a living.Be forced to subsist on two bowls of rice and questionable water every day, ride a bicycle wherever they want to go or WALK! They might stop looking like hogs ready for the slaughter...

At the most, they should have THEIR homes foreclosed on and be forced to live in the hobo jungles, homeless encampments and sleep under the bridges while a cold,wintery rain BEATS DOWN on them...

Their ELITIST friends in power bailed them out financially!

I am sitting here hungry and affordable house and a JOB--NOT A HANDOUT -- while these AIG CRIMINALS AND GAMBLERS LIVE OFF THE FRUIT OF OUR LABORS!

MAYBE STALIN WAS RIGHT ABOUT PEOPLE LIKE THIS!

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

pappy
Posted by: pappy on Nov 13, 2008 8:23 PM   
Current rating: Not yet rated    [1 = poor; 5 = excellent]
I guess we are socialists

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

1.5 Million Bailout $ Spent On Parties
Posted by: cherylholmes on Nov 13, 2008 11:19 PM   
Current rating: 5    [1 = poor; 5 = excellent]
Yep, 2 lavish parties at resorts and 1 foreign hunting trip on the taxpayers dime...How many of us would love such a luxury all expense paid vacation? How many of us would love to JUST HAVE SOME DAMNED MONEY TO BUY ANYTHING??? BASTARDS...

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

Ever hear of McDonald's?
Posted by: martron3000 on Nov 15, 2008 7:41 AM   
Current rating: Not yet rated    [1 = poor; 5 = excellent]
If they were so worried about saving money they didn't put up signage, why didn't they just have their meeting at McDonald's, instead of an expensive restaurant? They could have saved a lot by ordering off the "dollar menu"!

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

Give them a break!
Posted by: paulaH on Nov 15, 2008 8:02 PM   
Current rating: Not yet rated    [1 = poor; 5 = excellent]
They're really trying to be budget conscious. I mean, the price for this excursion COULD have been $500,050, but because of their cost-awareness, it ONLY cost them $500,000! That's a savings of $50! WOW! (the price of the trip and signage I just picked out of the air. the actual price may be more or less...probably more on their fun part and less on the signage part)

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

Cost cutting is....
Posted by: Babygoat on Nov 20, 2008 12:44 PM   
Current rating: 5    [1 = poor; 5 = excellent]
Cost cutting is a meeting per telephone or shared video,
perhaps, if they must see each other, how about a KOA campground with cold showers, NO BOOZE and
hot dogs on a stick? Tacky? Not really, they roast the weenies on a fire built with our money...1/2 a million dollars would go along way
toward exposing these pigs, perhaps, they would break a fire code and get hauled off to jail, maybe even one of the Cheney-Gonzales private prisons...Americans they are not!

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

AIG's Priorities
Posted by: stnflwr on Dec 1, 2008 10:52 AM   
Current rating: 5    [1 = poor; 5 = excellent]
Sure, they will eventually cut back - by laying off the low wage earners (everybody except male executive managers) that actually do the work. They have people that have worked (their butts off) for them for 20 years that make less than $40,000. Now, that's criminal.

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]