Pay Me What You Owe Me
Are Bonuses On The Table This month Bank of America (BOA) has repaid the entire $45 billion it owed U.S. taxpayers as part of the Troubled Asset Relief Program and Citigroup, Inc. plans to pay back TARP by raising money in an equity offering. It seems these banks are getting ready to issues bonuses and they can’t do that as long as they are under the scrutiny of the TARP Program…coincidence, I don’ think so. Repayment of the funds frees BOA from the government restrictions that have hampered its search for a new CEO, including executive pay limitations. Bank of America’s Chief Risk Officer Gregory Curl and Brian Moynihan, the head of consumer banking, are among the top contenders. However, both men have been criticized by analysts as lacking experience or being too close to the Merrill deal. Bank of America was among hundreds of banks that received government support through the government's TARP program. The bank received $25 billion as part of the initial round of...