Unapologetic CEOs: What Did the Banks Do With Your Cash?

"The American people are screaming because they think that the TARP money was designed for one reason -- to relieve the credit crunch -- and it was being used to take care completely of friends and others on Wall Street," Bunning said last week at a Senate Banking Committee hearing.

Geithner's chief of staff, Mark Patterson, comes to the Treasury Department after years as a lobbyist for Goldman Sachs.

Executives Called Before Congress

When the executives come to Congress, they will be the latest in a long line of industry leaders called to Capitol Hill in times of trouble.

In an infamous 1994 hearing, tobacco executives testified that nicotine was not addictive.

Last spring, oil executives were grilled for answers on how their companies were raking in record-high profits while consumers paid record-high prices at the pump.

In November, auto executives came under fire for requesting billons of government aid even as they flew to Washington in private jets.

Let the Public Relations Battle Begin

Even before coming to Washington, some executives have already launched public relations campaigns, with some deciding to forgo bonuses this year.

Goldman Sachs has announced that seven executives, including CEO Lloyd Blankfein, will not get a bonus.

JP Morgan Chase CEO James Dimon has said he will not seek a bonus.

Morgan Stanley CEO John Mack and two other two top executives will also not receive bonuses, although that did not stop an angry group of protesters from demonstrating outside his New York home Monday morning.

Just days before the hearing, Wells Fargo CEO John Stumpf took out full-page ads in Sunday's New York Times and Washington Post to argue that media reports of their planned trip to Las Vegas were "deliberately misleading."

Stumpf said that the Vegas event was not a junket, but rather a weekend to recognize employee performance.

Citigroup and Bank of America took similar approaches, also unveiling full-page ads in the newspapers to state that they were "taking the trust and faith that America has put in us and getting to work -- by lending and investing."

Citigroup's CEO Vikram Pandit and Bank of America's CEO Ken Lewis have waived their bonuses this year, but Stumpf has not. According to a Wells Fargo official, bonus decisions are up to the board of directors and those decisions are typically made in February.

-- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013. -- This embed didnt make it to copy for story id = 6849013.
Page
  • 1
  • |
  • 2
  • |
  • 3
  • |
  • 4
Join the Discussion
You are using an outdated version of Internet Explorer. Please click here to upgrade your browser in order to comment.
blog comments powered by Disqus
 
You Might Also Like...
See It, Share It
PHOTO: Firefighters rescue a woman who got stuck in a chimney in Thousand Oaks, Calif.
Ventura County Fire Department
PHOTO: Apple Pay is demonstrated at Apple headquarters on Oct. 16, 2014 in Cupertino, Calif.
Marcio Jose Sanchez/AP Photo
PHOTO: Up in Ash: Mount Sinabung Erupting
Tibt Nangin/Anadolu Agency/Getty Images
PHOTO: Defendant Jodi Arias testifies about killing Travis Alexander in 2008 during her murder trial in Phoenix, Feb. 20, 2013.
Charlie Leight/The Arizona Republic/AP Photo
PHOTO: Kim Kardashian, Kanye West, their daughter North West and Delphine Arnault attend the Givenchy show as part of the Paris Fashion Week Womenswear Spring/Summer 2015, Sept. 28, 2014 in Paris.
Bertrand Rindoff Petroff/French Select/Getty Images