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D.C. Dispatches by Cynthia Dizikes

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    Paulsen offers plan to recoup AIG bonuses

    By Cynthia Dizikes | Published Tue, Mar 17 2009 5:41 pm

    WASHINGTON, D.C. -- In his first high-profile move since taking office, freshman Erik Paulsen, R-Minn., took center stage in the Capitol today with a plan to recoup bonuses paid to AIG executives.

    Paulsen and other Republican Congressional newbies introduced a bill that would require the U.S. Treasury to recoup recent bonuses paid to AIG executives. This differs from a plan that was put forward by Senate Democrats, including Sen. Amy Klobuchar, D-Minn., which would impose a steep tax on the insurance group if it doesn’t renegotiate the terms of its bonuses.

    “AIG executives receiving millions in bonuses while taxpayers continue to bail them out is outrageous,” Paulsen said in a statement.

    Paulsen argued that his plan, which would require the Treasury to collect the bonuses within two weeks, is better than the tax plan because “moving forward we need to have a process in place.”

    “These bonuses shouldn’t have been paid in the first place,” said Paulsen. “This is [fixing] today what should never have been done.”

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    minnpost.com/cynthiadizikes


    Cynthia Dizikes is MinnPost's Washington, D.C., correspondent and covers Minnesota's congressional delegation and reports on developments out of Washington that are important to Minnesota readers. She received her master's degree in journalism from UC Berkeley and has worked as an intern in the Los Angeles Times' Washington bureau, reporting on a variety of topics, and as a reporter for the Anniston Star in Alabama. Her work has also appeared in the San Francisco Chronicle, the Oakland Tribune, Congress Daily and on National Public Radio. She can be reached at cdizikes [at] minnpost [dot] com.

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