Facebook's IPO Debacle, Day 3: Un-Friended and Dis-Liked on Wall…
Former Olympic Rower Turned to Minimalism to Pay Down $82,000 in DebtWall Street walked into the path of its own oncoming stupidity. Of the $700 billion in Treasury rescue money, as much as $70 billion could go to bank and brokerage bonuses.
According to The Guardian, "Financial workers at Wall Street's top banks are to receive pay deals worth more than $70bn (£40bn), a substantial proportion of which is expected to be paid in discretionary bonuses, for their work so far this year." The paper goes on to say that the Morgan Stanley (NYSE: MS) pool is large enough to buy the entire company when its stock was at a recent low.
Although this information get filed under "things you can't make up," it will probably have such a severe backlash that Congress will run hearings until the bankers have exhausted the extra money they are making on legal fees.
The contrary argument to punishing the firms is that some of the people getting big pay-outs work in departments that actually contributed huge sums of money to their parents.
If the management at these firms has any sense at all, they will pay nothing to the staff who worked in operations that lost money and file with the SEC to show the amount of operating income made from the operations where people are getting an extra check.
There will be hell to pay either way.
Douglas A. McIntyre is an editor at 247wallst.com.
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Reader Comments (Page 4 of 4)
11-01-2008 @ 4:55PM
rapnapa said...
Let's not forget all the voter fraud that is currently taking place and we know it.
Let's not forget ACORN is so involved in this corruption and can we guess which candidate has an association with them? Yes, of course it's Obama once again.
The Rev. Wright? Who went to this ummm church? Yes, right again Obama.
If he was such a poor fellow growing up and raised by his grandparents then where did the money come from for his college education........ None of this adds up. Hello! I am listening Obama..... Tell the rest of the country trying to make an honest living how that is done. I used the word HONEST. I don't need your tax increases and stay away from my 401k that I worked so hard to save.
11-02-2008 @ 10:01AM
Willi said...
To PoppyJim128, a Bush hand out ?? All I seen on T.V. and in the newspapers was Nancy Pelosi, Barney Frank, and Chris Dodd saying how great of a plan this was. All Democrates I beleive.
11-20-2008 @ 4:02PM
Bob said...
A big problem is that what these exec's do is not transparent. Annual reports are history and who can understand them. Apparently, not many, since the stock holders don't reign them in. And, Congress is partly to blame for not ensuring the transparency. Congress doesn't advertise what it's doing, either. I suggest a PBS, 100% gov't funded, that shows what both are doing, transparent and understandable.
11-20-2008 @ 4:52PM
Gerbil jockey said...
How many of you complaining have written your congress comrade and complained about this. Posting here does nothing to fix the problem.
11-20-2008 @ 5:13PM
rj said...
Ladies and Gentlemen...it's time for a revolution in this country...a bloody one!
11-26-2008 @ 11:20PM
Gerbil King said...
If you dont like it write your congress comrade. Dont just sit there and do nothing. Let the powers that be know.
11-29-2008 @ 5:31PM
VICTOR said...
WHAT A SURPRISE,THE CROOKED RICH GET RICHER FROM THE COMMON PERSON BUT WITH A TWIST SURPRISE,WITH GOVERNMENT HELP.I SAY CROOKED NOT BECAUSE THEY ARE COMMON CRIMINALS BUT THEY USE LOOPOS IN THE SYSTEM TO MAKE THEIR MONEY.THE BONUS WHICH THEY THINK THEY DESERVE SHOULD BE TIDE TO HOW THE COMPANY MAKE OUT FINANCIALLY,SINCE THEY NEEDED A BAILOUT SHOULDN'T THEY LOSE THEIR PAY(FIRE) AND NOT BE ABLE TO COLLECT A BONUS, EVEN IN THE GAME OF MONOPOLY IF YOU LAND ON THE WRONG BOX YOU GO STRAIGHT TO JAIL AND DON'T COLLECT CASH.CEO'S LAND IN TROUBLE AND COLLECT PAY CHECKS AND BONUSES AND TO BOOT THEY ARE HIRE BY OTHER COMPANIES TO TEACH THEM TO AVOID WHAT THEY DID IN OTHER FIRMS THAT FAIL.WELCOME LEGAL CORRUPTION.
12-10-2008 @ 9:10AM
Dan Donovan said...
Ehough is enough! Cut the bull. They get nothing to reinforce their inadequacies.
12-27-2008 @ 12:55PM
cheli said...
Everyone is angry, can't say I have run into a single soul that approves of the bail outs or a single soul that has reaped any benefits from the bailouts. Yet, all will whine and complain and rant about the whole mess but do NOTHING to change it! Governments in other countries fear their citizens thus forcing their governments to truly represent the people, but here in the USA, we fear the govt and do NOTHING but complain about the mess. If americans would UNITE and take a stand there would be change but as long as americans are passive....things will only get worse. America is divided, by race, religion, morals etc, everyone looking down on everyone else rather than looking at the BIG picture-that we are ALL being screwed by the govt and the wealthy so we should forget our differences and stand united and take back our rights and our government!