Tuesday, November 11, 2008

AIG screws up again. It's this kind of decision-making that got them into this mess in the first place

Let's see if I get another comment from AIG after posting this one.

AIG, you know the big insurer who begged for taxpayer money because they were on their last leg, has managed to blow a bunch of money at another resort.

Of course AIG has the money to pay someone to cruise the internet looking for bad press and respond, so they have the money to send their executives to a resort.

AIG's response? Well, they said someone else paid the majority of the expense. Fair enough

BUT, here's the issue: AIG should be conscious of what we in the legal profession call the appearance of impropriety.

Even if what they say is true and they are not technically exploiting taxpayers for lavish events, they are still under the microscope and should be cognizant of the effect such extravaganzas would have on those lending them a whole bunch of cash. A technicality is not going to fly in the political world of taxpayer bailouts.

When you live in the rarefied world of corporate compensation, creature comforts like resorts, spas, and golf are just every day things to help a beleaguered executive out.

Back on planet earth with the rest of us, we see this as a con job.

1 comment:

Anonymous said...

HA! I hope they post again... that would be so funny.

Twice in only a matter of a few months??? WHats wrong with these people!?