Goldman Sachs Pay ‘Scandalous,’ Sarkozy Advisor Guaino Says

Source: bloomberg

By Heather Smith

July 15 (Bloomberg) -- Goldman Sachs Group Inc.’s decision to boost compensation after posting record second-quarter sales yesterday should prompt politicians to revise pay rules, French President Nicolas Sarkozy’s top adviser, Henri Guaino, said.

“The question now is whether we decide to do something to fix that,” Guaino said today in an interview on France2 television. “No one in the U.S. or elsewhere can tolerate such a situation. Goldman Sachs wouldn’t exist had American taxpayers not come to its aid. To be drowning in dollars and bonus money today is utterly scandalous. It’s a problem the G-20 will have to deal with. Political leaders around the world are at the foot of a gigantic moral problem.”

Failure to act on bankers’ pay and bonuses could lead to “major political problems,” Guaino said.

“On the one hand, there’s this explosion in unemployment and social disintegration, and on the other, this perfectly indecent conduct continues,” Guaino said in the interview. “It’s the job of politicians to put an end to it.”

Read more: http://www.bloomberg.com/apps/news?pid=20601090&sid=aVum8RFiZP3k

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see even here

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x3970362

Wow! That's strong language. What recourse might G-8 leaders take?

These monolithic banks/financial/Wall Street firms need to be reigned in and their bonuses and profits need to be taxed at least at a 75% rate.

But the Obama Administration doesn't seem to have the stomach to do it. Maybe congress?.

Those mFs are the ones who Fund the Campaigns.

Unfortunately, the politicians we have in this country (with a few exceptions) are all too happy to enable these gross absurdities. Let's hope the Sarkozy administration is able to knock some sense into the Wall St. enablers in Washington.

Unfortunately our President believes we cannot allow these monolithic corporations to fail. I thought Supply Side Economics was discredited years ago. The only trickle down I ever was aware of was a salty warm amber colored fluid...

How can you restrict pay to a company you now have no leverage over?

First, 'no leverage'?? The government has leverage over everyone and everything within its jurisdiction. Second, 'how do you restrict pay'?? By restricting it, duh. Alternatively, by taxing it.

shouldn't have. The taxpayers have $180 billion in AIG, but they make full payout on gambling money to GS? Standard procedure for bankrupt companies is that creditors have to take a haircut, part of doing business.

And AIG is busto. We've spent $180 billion on a company with a $2 billion market value, and we still don't own it.

That's just the first example of a subsidy GS got from the taxpayers.

They exist because of the taxpayers. Only.

Pretty soon we will find out who the gettaway driver is.

if the money was paid back, and the government is no longer a stakeholder, then they can pay whomever they want whatever they want (as long as they follow minimum wage laws, and properly report such information to their stockholders--no tricky accounting alloowed).

Robert Johnson explains well how Goldman Sachs has destroyed whatever international reputation the United States had in the world of finance.

http://lauraflanders.firedoglake.com/2009/07/15/goldmans-coup-david-corn-on-sotomayor-and-the-real-janet-napolitano/

I love those guys. Rethink Afganistan

Thanks for posting a link to it. :fistbump:

Why do they hate 'Murka?

:sarcasm: :sarcasm:

Obama will go to the mat for Goldman Sachs in a heartbeat.