Congress’ Version of the Dr. Phil Show
January 20, 2008
Self-appointed watchdog, Rep. Henry Waxman, Chairman of the House Committee on Oversight and Government Reform, has invited three high profile, highly paid current or former CEOs to “get real” and “just own” their involvement in the current mortgage mess that is dragging down Wall St and the U.S. economy.
From the Wall Street Journal Online’s Deal Fees Under Fire Amid Mortgage Crisis:
Merrill Lynch & Co.’s former chief executive, Stan O’Neal, left in October after the firm’s $8.4 billion write-down. He didn’t get a bonus or severance, but he retained $161.5 million in previously earned benefits and compensation because he met the age and service requirement for collecting those benefits. Charles Prince, Citigroup Inc.’s former CEO, lost his job, too. He left Citigroup in November with stock and other compensation valued at the time at $29.5 million, as well as a bonus. He didn’t get severance.
Mr. O’Neal and Mr. Prince — along with Angelo Mozilo, chief executive officer of Countrywide Financial Corp., the nation’s largest home-mortgage lender by loan volume — have been asked to testify about their pay packages on Feb. 7 before the House Committee on Oversight and Government Reform.
All three received letters from Committee Chairman Henry Waxman where he forewarned them,
“You should plan to address how it aligns with the interests of…shareholders and whether this level of compensation is justified in light of your company’s recent performance and its role in the national mortgage crisis.”
Given Waxman’s treatment of the pharmaceutical industry, this could be an interesting hearing providing someone actually shows up.
Does the self appointed watchdog Rep. Henry Waxman real think that the general public buys his dog and pony show?
What is he really going to do to them?
When his commical entertainment show is over… nothing is going to change. All 3 of the CEO’s are going to go back to their expensive homes with not one penny of their compensation missing. So why spend our money for the dog and pony show when in all reality he isn’t going to do one thing as the self appointer watchdog. Except to convince the sheep that follow him that he did something for them. Bah..Bah to the followers