AIG to continue lobbying lawmakers despite bail-out

[Snazzy]

Source: Financial Times

AIG to continue lobbying lawmakers despite bail-out
By Stephanie Kirchgaessner in Washington and Francesco,Guerrera and Saskia Scholtes in New York

Published: October 13 2008 03:00 | Last updated: October 13 2008 03:00

AIG has no plans to suspend lobbying activities in Washington, in spite of the US government's unprecedented $85bn bail-out of the insurance group.

The company, which is coming under intense pressure in Congress to rein in excessive spending, said it would continue to lobby members of Congress because it was important for the company and its shareholders to keep tabs on legislative activities in Washington.

"We will still operate our government affairs activity, watching the legislative process to figure out what the impact on our business will be," AIG said.

AIG has spent more than $16m since January 2007 lobbying the government on issues ranging from housing laws to financial regulation.

While the bulk of its -lobbying activity has been performed in-house, the -company has also spent millions of dollars on outside lobbyists. Wayne Berman, the veteran lobbyist and -fundraiser who serves as -co-chair to presidential -candidate John McCain's finance committee, served as a lobbyist for AIG as late as June of this year, generating $50,000 in fees for Ogilvy, his lobbying company.

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Read more: http://www.ft.com/cms/s/0/96334744-98ce-11dd-ace3-000077b07658.html

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Of course the ties to Mccain and Bush are much more extensive than just this. And the $400k+ party they threw on our dime is just scratching the surface of ongoing malfeasance, now also at tax payer expense.

[ReadTomPaine]

1. So it's essentially running a money laundering operation.

Out of one pocket, thru AIG, and into another. Nice. This sort of thing can't be regulated out of existence fast enough.

[Selatius]

2. Maybe the US gov't should've nationalized 100 percent of the company and sacked their leadership.

Then AIG could be ordered to stop lobbying activities.

[ReadTomPaine]

3. And it would have been a huge bargin in the process. n/t

[htuttle]

9. Would have cost a LOT less if they had

Less than $10 billion.

[aquart]

4. So we're paying for the lobbying, too?

Hang these bastards. Make an example of them.

[DeadManInc]

5. These bastards should not be allowed to use our money

to pay a bloodsucking lobbyist. If they have that kind of money, they do not need ours!

[Deny and Shred]

6. Beacuase the market wasn't deregulated enough, that's why it crashed.

[sarcasmo]

8. Did you forget your sarcasm tag, or are you serious with that answer?

[sarcasmo]

7. They should never have been bailed out, greedy fuckers want more.

[Snazzy]

10. details from Reuters: AIG lobbying to relax oversight rules: report

AIG lobbying to relax oversight rules: report
Thu Oct 16, 2008 1:35am EDT
(Reuters) - Insurance giant American International Group Inc (AIG.N: Quote, Profile, Research, Stock Buzz) is spending money to lobby states to soften new controls on the mortgage industry, the Wall Street Journal said.

When the U.S. government took control of failing mortgage titans Fannie Mae and Freddie Mac, it prohibited them from lobbying. But it hasn't banned the practice at AIG, a huge insurer that is still 20 percent-owned by public shareholders, the Journal said.

State regulators said AIG is working to ease some provisions in a new federal law, passed in July as part of a sweeping housing-industry rescue package, which establishes strict oversight of mortgage originators, the paper said.

The law requires originators to be licensed by states and to supply comprehensive information so that state regulators can track their activities, the Journal reported.

The new rules aim at holding originators accountable if they engage in improper or fraudulent lending of the kind that ultimately contributed to AIG's downfall, the paper said.

....

http://www.reuters.com/article/businessNews/idUSTRE49F0X620081016

[Snazzy]

11. AIG Still Paying For Luxury Suite at Madison Square Garden

AIG Still Paying For Luxury Suite at Madison Square Garden
Meanwhile, Under Pressure Company Will Cancel Over 160 Events
By JOSEPH RHEE and RICHARD ESPOSITO
October 16, 2008
ABC News has learned that the beleaguered insurance company AIG is still paying hundreds of thousands of dollars for a luxury suite at Madison Square Garden, the home of the New York Knicks and Rangers. AIG told ABCNews.com that the contract for the suite was signed in February and is for the exclusive use of its "brokers and clients."

The beleaguered insurance company AIG is still paying hundreds of thousands of dollars for a luxury suite at Madison Square Garden, the home of the New York Knicks and Rangers, following the government's $85 billion bailout of the company.
"We have a number of sponsorships and commitments that are all being reviewed right now," said AIG spokesperson Peter Tulupman.


While Tulupman would not confirm how much AIG is paying for the MSG suite, a year-long contract for a "Club Suite" ranges from $225,000 to $500,000. Although AIG is stuck with paying for the suite, Tulupman said it will no longer be used by the company.

....

http://abcnews.go.com/Blotter/WallStreet/story?id=6052261&page=1