Lawmakers Assail Bonuses Paid To Executives At AIG

WASHINGTON — Lawmakers are heaping criticism on insurance giant AIG, after learning the bailed-out company has been passing out millions of dollars in executive bonuses.

Sen. Richard Shelby tells ABC’s “Good Morning America” that Congress needs to make sure that government money going to AIG is properly handled. The Alabama Republican adds that AIG brought its problems on itself and that “a lot of these people should be fired, not awarded bonuses.”

Massachusetts lawmaker Barney Frank says he’s disgusted by the latest $165 million in AIG payouts, part of a larger payout of about $450 million. The company has received more than $170 billion in federal rescue funds.

Frank tells NBC’s “Today” show that “these people may have a right to their bonuses” but that “they don’t have a right to their jobs forever.” He says the bonuses amout to “rewarding incompetence.”