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Money | 03/05/2009 9:15 am

Andrew Cuomo Subpoenas Bonus-Grabbing Merrill Lynch Leaders

While taxpayers foot the bill, bankers move to keep executive compensation private. And New York Atty. Gen. Andrew Cuomo doesn’t approve
By The Staff at wowOwow
© Getty Images

Merrill Lynch must have some nerve!

After putting many Americans out of work last year, the company’s 10 highest-paid employees took home $209 million in cash and stock. Amid mounting losses, Merrill Lynch, which merged with Bank of America in January, paid its 11 top executives more than $10 million, while 149 other employees made upwards of $3 million. The financial firm’s top investment banker, Andrea Orcel, was paid $33.8 million alone, the Wall Street Journal reports.

The eight-figure salaries, which were revealed Wednesday, prompted New York’s Attorney General Andrew Cuomo to subpoena the bank’s top earners to discuss their bonuses and when they were received.

In response, Bank of America filed a motion in the New York State Supreme Court to keep compensation data private.

Former Merrill Lynch boss John Thain testified about the firm’s billion-dollar bonuses earlier this year. Thain reportedly blew over $1 million redecorating his office before selling the firm to BoA. Last week, Cuomo accused him of trying to block an ongoing probe into executive bonuses and other Wall Street shenanigans.

The financial market collapse last year crippled the U.S. economy, causing plummeting stock values, widespread layoffs, and business and home foreclosures across the country. And these people want to keep their compensation secret? Mind-boggling… 

6 Reader Comments (so far…) Sign In or Register to comment

Tee Zee
Geez, someone in government doing their job?  It’s about time!
By Tee Zee on 03/05/2009 9:24 am
Ms. Dee
Yep.  This is good news.  And if the Wall Street Journal quote, "Andrea Orcel was paid 33.8 million…" can be believed, evidently Cuomo’s winning the battle.  Let’s hope so. 
By Ms. Dee on 03/05/2009 9:43 am
f p
These bankers need to be put in jail and I hope Cuomo sends the bastards there.
By f p on 03/05/2009 9:48 am
f p

And Jon Stewart on CNBC who has been totally wrong from Bear STearns on lol:

http://www.thedailyshow.com/video/index.jhtml?videoId=220252&title=cnbc-gives-financial-advice 

 

By f p on 03/05/2009 10:04 am
Green Tears
Good for you, AG Cuomo!!
By Green Tears on 03/05/2009 10:36 am
C Hardy

They all got bonuses yet BofA employees arent getting raises this year…hmmmmmmm, whats wrong with that picture?  They could take their bonus money & give the employees the raises they deserve…would that happen, doubt it.

By C Hardy on 03/05/2009 1:35 pm