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The Notorious Aig Bonuses: More Ugly Details

Care of New York Attorney General Andrew Cuomo (and the Times):  

The highest bonus was $6.4 million, and six other employees received more than $4 million, according to Mr. Cuomo. Fifteen other people received bonuses of more than $2 million, and 51 people received bonuses of $1 million to $2 million, Mr. Cuomo said. Eleven of those who received “retention” bonuses of $1 million or more are no longer working at A.I.G., including one who received $4.6 million, he said.

Also, Cuomo elaborates a bit on potential fraud charges, which seem more promising in light of the recent revelations, if still probably a longshot.

Mr. Cuomo subpoenaed A.I.G. on Monday for the names of the people who shared in the new bonus pool. He said the fact that 11 people who received some of the money were no longer at A.I.G., raised questions about whether the bonuses were truly for retention purposes.

Mr. Cuomo may be able to use a state law about fraudulent conveyance to force A.I.G. to rescind the bonuses. Mr. Cuomo would have to show that A.I.G. was undercapitalized when it paid the bonuses and that the people who received the bonuses did not earn them.

--Noam Scheiber