Big Brother Taking Over: Obama Czar Blocks Bank of America Chief’s Pay
Here is another example of gov’t taking over our lives. The gov’t should have NO say in how much a company pays its executives. Butt out Obama!!! How far are we going to let this go before we fight back?
Czar Blocks BofA Chief’s Pay
Lewis to Return $1 Million as U.S. Objects to Retirement Deal; Feinberg Flexes Muscle
Wall Street Journal Online
By DEBORAH SOLOMON and DAN FITZPATRICK
OCTOBER 16, 2009
WASHINGTON — The U.S. Treasury Department’s pay czar pushed outgoing Bank of America Corp. chief executive Kenneth Lewis into giving back $1 million he received so far this year and forgoing the rest of his $1.5 million salary for 2009, say people familiar with the matter.
The move makes Mr. Lewis the biggest target so far of Kenneth Feinberg, the Treasury’s “special master” for compensation. The pay czar also asked that Mr. Lewis pass up any 2009 bonus from the North Carolina-based bank.
Mr. Feinberg pushed for the deal because he thought the package of retirement benefits and stock awards Mr. Lewis is set to receive when he steps down at the end of the year — valued at least $69.3 million — was large enough. Mr. Feinberg doesn’t have the authority to modify the retirement package because it was awarded before this year, when he was charged with overseeing pay practices at seven firms receiving large sums of government aid.
A Bank of America spokesman said Mr. Lewis voluntarily agreed to the deal, which was completed Thursday.
“Mr. Feinberg suggested that Ken Lewis should take no compensation for 2009. Mr. Lewis agreed. Mr. Lewis added that he felt it was not in the best interest of Bank of America for him to get involved in a dispute with the paymaster,” the spokesman said.