Friday, March 7, 2008

House Panel Questions High Pay for CEOs

Corporations make big profits from debt and CEOs get obscene salaries and bonuses. Congress wants to investigate this greed, but they themselves are to blame for the subprime mess:

The heads of three companies implicated in the mortgage crisis have been asked to explain how they collectively received hundreds of millions of dollars in compensation while their companies were losing money.

[...]The committee, chaired by Rep. Henry Waxman, D-Calif., has held several hearings on the issue of high executive compensation. Last December it looked at large, publicly traded companies that hire compensation consultants who are receiving millions of dollars from corporate executives whose compensation they were supposed to assess.

Republicans on the committee questioned the need for the hearing, saying it falls outside the panel's primary role of investigating waste, fraud and abuse in the federal government.

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