And don't talk to me about all the politicians stampeding to tax AIG's bonuses. Democratic Sen. Chris Dodd, the corporate crony who is the largest recipient of AIG donations, is now leading the charge to tax the retention payments in order to recoup the $450 million the company is paying to employees in its financial products unit.
But Dodd, it turns out, was for protecting AIG's bonuses before he was against them.
Fox Business reporter Rich Edson pointed out that during the Senate porkulus negotiations last month, Dodd successfully inserted a teeny-tiny amendment that provided for an "'exception for contractually obligated bonuses agreed on before Feb. 11, 2009,' which exempts the very AIG bonuses Dodd and others are seeking to tax." Pay no attention to what his left hand was doing. Dodd's right fist is pounding mightily, mightily for the sake of the taxpayers.
The hypocritical indignation on the Hill is bipartisan. On his Twitter page last night, GOP Sen. John McCain huffed: "If we hadn't bailed out AIG = no bonuses for greedy execs." Well, if the GOP presidential candidate had held fast to his opposition to such doomed corporate bailouts in the first place, maybe bailout-palooza wouldn't have spiraled into the gazillion-dollar mess it inevitably became. McCain asserted in a Twitter interview with ABC's George Stephanopoulos Tuesday morning that he "would have never bailed out AIG."
But on Sept. 18, 2008, McCain performed a 24-hour flip-flop and abandoned his principled opposition to the $85 billion AIG bailout, lamenting that the "government was forced" to do it. Soon after, McCain joined Obama in supporting the $25 billion auto bailout, the first $350 billion banking bailout (TARP I) and his own massive $300 billion mortgage bailout.
If Washington's newfound opponents of rewarding failure want to do taxpayers a favor, how about giving back their automatic pay raises? How about returning all their AIG donations? How about taking back all the bailout money to all the failed enterprises, from Fannie Mae and Freddie Mac to AIG, the automakers and the big banks? Barry? Harry? Nancy? John? Chris? Bueller? Bueller?
Exit stage left. The curtain falls.