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Bailout Firms Plot to Shield Bonuses from Regulation

HeadlineMar 18, 2009

As the AIG controversy grows, other bailed-out firms are reportedly secretly discussing how to shield future bonuses from public scrutiny. The Wall Street Journal reports executives at Citigroup and Morgan Stanley are mulling ways to keep their bonuses without violating anticipated new government rules. The options include increasing base salaries for top employees. Citigroup has received $45 billion in taxpayer money, while Morgan Stanley has received $10 billion. Last week, Wells Fargo said it had increased the base salaries of its CEO and two other top executives. Wells Fargo has received $25 billion under the Wall Street bailout.

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