Bloomberg reports that "Citigroup Inc. (NYSE: C), General Motors and four other bailed-out firms subject to U.S. pay reviews cut 2009 lobbying costs 37 percent as pressure mounts from Congress and the public to rein in outsized bonuses, records show."In a way, it's not so surprising: Now that they've gotten their handouts, they don't need to buy off public officials anymore. But what's appalling is how much -- even after the drop -- taxpayer money these companies used to lobby the government for more gifts.
Citigroup and Bank of America (NYSE: BAC) spent a combined $14 million on lobbying in the 18 months ending June 30th, and General Motors spent $18.7 million -- which explains why we got Cash For Clunkers, a program that most rational people say won't provide long-term value for the economy or the environment, and will cost many hard-working mechanics their jobs.
There ought to be a law: No company that received TARP money should be allowed to spend it lobbying for tax breaks, more bailout assistance, and free money for people who buy its products. Doesn't that seem obvious?
Let's tell GM, Citigroup, and Bank of America that they aren't allowed to engage in any lobbying activities until they've paid back all their government loans. Can you imagine if welfare recipients were allowed to use their welfare payments to bribe the clerks for more welfare?
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Reader Comments (Page 1 of 1)
8-13-2009 @ 8:11PM
justsillyme55 said...
I don’t know about you but I love making a statement…In these crazy economic times did ya ever want to send a message to the world about what’s really going on and what is wrong… I made a wish this morning and here is what it is… I am going to send this email to everybody I know cause it would really be funny to see this happen.
By now everyone knows that GM’s stock is worthless. It is trading as MTLQQ.. Liquidation is in process and this stock is linked to the air. I would love to see it make the news and go up to $6.00 a share.. We the little people who believe in American can really make a statement. If one person out of every 1000 who read this buy 1000 shares OH MY GOODNESS we will make the news… Wanna have laugh and make some money....try it and we can all say we did it. The lil people...
Signed a Rebel without a cause.