THINK OF THE MESSAGE IT SENDS TO THE CHILDREN
You probably didn't watch or hear all of the hearings on the astounding AIG failure-cum-rescue.
Neither did I, but let me share the crowning morsel from the parts that I heard.
AIG management contracted a guy who was supposed to look at the stuff going on in the Financial Products area, the one that wrote some $400+ billion in off balance sheet products, reportedly (at notional value, I assume).
The head of the group thumbed his nose at him, so the guy resigned, because he could not do his job, the job that AIG had hired him to do.
Despite this conspicuous happening, complete with written, clarion warnings to all the right people inside and outside the firm about it, management apparently ... did nothing further, apart from refer the matter to legal.
Oh, everyone got their bonus, including the CEO (only about $5 million, though).
Tuesday, October 7, 2008
Remarkable Day: AIG
