Lawmakers grill AIG over bonuses

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Source: CCTV.com | 03-19-2009 09:14

The head of insurance giant -- American International Group -- says he has asked employees to voluntarily return millions in bonuses.

He made the remark during intense grilling from US lawmakers on Wednesday.

AIG Chairmen Edward Liddy testifies on Capitol Hill in Washington, Wednesday, March 18, 2009. (AP Photo/Susan Walsh)

The distribution of the bonuses have outraged American taxpayers who spent billions bailing out the troubled insurance giant.

The CEO of AIG -- Edward M. Liddy -- testified before US Congressmen on the Financial Services Committee in the House of Representatives. Liddy said he is asking AIG employees who received "retention payments" of over 100-thousand US dollars to return at least HALF of the money.

Edward M. Liddy. CEO of American International Group, said, "I've asked the employees of AIG financial products to step up and do the right thing. Specifically, I've asked those who've received retention payments in excess of 100-thousand (US) dollars or more, to return at least half of those payments."

Despite the concession Liddy insists the distribution of bonuses are necessary to retain good people in the company's financial products department.