Top Dem senator says to return AIG bonus or lose job

[March 23, 2009]  WASHINGTON (AP) -- Return the money or be fired.

In the view of the Senate Budget Committee chairman, those are the appropriate choices for AIG workers who got big bonuses.

Sen. Kent Conrad, D-N.D., says the $165 million in bonuses paid out by American International Group is unacceptable. He says if he were in charge of AIG, he'd ask that the bonuses be returned.

AIG received billions of dollars in a federal bailout, but still paid employees the bonuses their contracts required. Populist anger led the House to impose a 90 percent tax on bonuses paid this year to companies that needed government bailout money.

Some senators including Maine Republican Susan Collins, say the House version might have gone too far.

Conrad appeared on ABC's "This Week."

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THIS IS A BREAKING NEWS UPDATE.
AP's earlier story is below.

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WASHINGTON (AP) -- Return the money or be fired.

In the view of the Senate Budget Committee chairman, those are the appropriate choices for AIG workers who got big bonuses.

Sen. Kent Conrad, D-N.D., says the $165 million in bonuses paid out by American International Group is unacceptable. He says if he were in charge of AIG, he'd ask that the bonuses be returned.

AIG received billions of dollars in a federal bailout, but still paid employees the bonuses their contracts required. Populist anger led the House to impose a 90 percent tax on bonuses paid this year to companies that needed government bailout money.

Some senators including Maine Republican Susan Collins, say the House version might have gone too far.

[Associated Press]

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