Schock Votes to Reclaim Taxpayer Dollars from AIG Executives

From the Office of Congressman Aaron Schock

Washington, D.C. – Congressman Aaron Schock (R-IL) voted today for H.R. 1586, a bill to allow the government to reclaim the vast majority of the bonuses awarded by American International Group (AIG), when it passed the House today by a vote of 328 to 93. This legislation would impose a 90 percent tax on individuals awarded big bonuses, who already earn more than $250,000 annually, at companies taking $5 billion or more in government aid.

“I share the outrage of the American people that AIG would use taxpayer dollars to award executive bonuses during this economic crisis,” said Schock. “The fact that these bonuses were protected is the fault of both administrations and is a reflection of the dereliction of duty by Treasury Secretary Timothy Geithner.”

Schock has also joined his House Republican colleagues to introduce H.R. 1577, legislation that directs the U.S. Treasury Department to recoup the payment of American International Group Inc. (AIG) bonuses within two weeks. Specifically this bill:

• Direct Treasury to implement a plan to recoup within the next two weeks the payment of AIG bonuses.
• Require any future bonus payments, of any kind, to Troubled Assets Relief Program (TARP) recipients, to be approved in advance by Treasury.
• Any future contractual obligations entered into by TARP fund recipients to make bonus payments of any kind must be approved in advance by Treasury.

Schock is also a cosponsor of a resolution of inquiry that seeks to get all records from the Treasury Department pertaining to any negotiations or government communications with AIG, so taxpayers can better understand how language protecting the bonuses was inserted into the stimulus package.

During consideration of H.R. 384, the TARP Reform and Accountability Act, Schock won passage of an amendment that would have established a website to track these bailout funds. Unfortunately, the Senate has thus far failed to consider this legislation.

“It’s fair to say that if this website to track all of the bailout funds was established, taxpayers would have discovered these outrageous bonuses long before they were paid out,” Schock continued.