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...Less than two weeks ago, The Washington Post published an article announcing that AIG had paid millions of dollars in retention bonuses to executives of the company. Documents later turned over to the Connecticut Attorney General show that the actual figure was $218 million. To date, the government has loaned AIG $170 billion from various financial assistance efforts, including Troubled Asset Relief Program ("TARP"), in exchange for an 80 percent stake in the company. However, in apparent disregard of its unmatched failure, AIG chose to honor its employee's compensation agreements, and awarded multi-million dollar bonus to its executives...

Author: /time Magazine | Title: Why the People Who Broke the Financial System Will Profit | 3/25/2009 | See Source »

...Recently, Andrew Cuomo, The New York Attorney General, announced that "Of the $165 Million pool, we calculate that employees have agreed to return approximately $50 million." This reflects about 20 percent of the $218 billion that Connecticut's Attorney General has said AIG paid in bonus compensation, but it's an impressive start...

Author: /time Magazine | Title: Why the People Who Broke the Financial System Will Profit | 3/25/2009 | See Source »

...received more than $180 billion in federal money. This week Obama remains relatively untouched in the polls, and Geithner is basking in his best week of media coverage yet. How did their fortunes shift so suddenly? To some degree, they were helped by the fact that New York State Attorney General Andrew Cuomo announced Monday night that he has already managed to get AIG employees to give back $50 million of the bonuses. But much of the credit still has to go to the Obama Administration for its handling of the AIG fracas. With that in mind, here are five...

Author: /time Magazine | Title: Five Lessons from the AIG Bonus Blowup | 3/25/2009 | See Source »

Washington will have at least started that process when Secretary of State Hillary Clinton arrives in Mexico today for a two-day visit. In response to growing fears both in Washington and along the border that Mexican drug violence is spilling over to U.S. soil - Attorney General Eric Holder recently called the cartels a "national security threat" - the Obama Administration on Tuesday unveiled a border-security plan that will put more than 500 federal agents in border states. More significantly, the plan calls for stronger measures to reduce U.S. narco-demand, cut off weapons-smuggling into Mexico and lasso more...

Author: /time Magazine | Title: Obama's Other War: Fighting Mexico's Drug Lords | 3/25/2009 | See Source »

...Even then, there was no action taken initially; eight months elapsed before the court declined to act, without explanation, even though the application was supported by the state's attorney general. But the day after federal charges were leveled against the two judges - the result of a long-running probe into links between the court and the youth-detention centers - the state supreme court reversed itself and appointed someone to clean up the mess...

Author: /time Magazine | Title: Getting the Juvenile-Justice System to Grow Up | 3/24/2009 | See Source »

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