[cnn-photo-caption image=http://i2.cdn.turner.com/cnn/2009/POLITICS/03/19/aig.spitzer/art.spitzer.cnn.jpg caption="Ex-New York Gov. Eliot Spitzer says focusing on those AIG bonuses misses the bigger financial picture."]
CNN Financial News Producer
The House passed legislation Thursday to try to recoup bonuses paid to Wall Street executives with taxpayer money.
The measure passed, 328-93; with most Democrats supporting it while Republicans were sharply divided. The measure would tax individuals on any bonuses received in 2009 from companies getting $5 billion or more in money from the Troubled Asset Relief Program.
Bonuses for people with incomes over $250,000 would be taxed at a 90% rate.
Treasury Secretary Tim Geithner told CNN Thursday that his department, concerned that language about bonuses would not hold up to a court challenge, asked Sen. Chris Dodd to include an executive pay provision in the stimulus bill. The loophole allowed bailed-out insurance giant American International Group to pay out $165 million in bonuses.
In an interview with CNN Chief Financial Correspondent Ali Velshi, Geithner said the Treasury Department was concerned the government would face lawsuits if contracts were breached for the bonuses.
And be sure to watch Ali Velshi and the rest of the CNN Money Team for “AIG: Facts and Fury.” How is your money being spent on AIG? Who is responsible for the AIG mess? Why is there so much outrage? That's Saturday and Sunday night at 8:00pm ET.
Under pressure, AIG sent the New York Attorney General's office a list of employees who received bonuses, according to a statement released Thursday.
New York Attorney General Andrew Cuomo's office confirmed it had received the list, but said it would not release any names yet.
Outrage over AIG’s bonuses may grab headlines, but its payouts on complicated financial instruments deserve closer examination, Former New York Gov. Eliot Spitzer said Thursday.
In his first television interview since being forced from office in a prostitution scandal, Spitzer told CNN's "Fareed Zakaria GPS" that the insurer was at the "center of the web" of transactions that have forced a massive bailout of the U.S. financial system.
AIG is now being kept afloat by U.S. taxpayers, and Spitzer said its woes stem from financial practices he first investigated as New York's attorney general.
Wall Street's bid for a second straight week of gains faces a test today. Stocks opened modestly higher as investors continue to fret about the economy. Should stocks end the day higher, it will be Wall Street’s first weekly back-to-back win in nearly a year.
Oil prices are hovering around the $51 a barrel mark today. Crude jumped more than 7% Thursday, closing above the $50 threshold for the first time since late November, as the dollar weakened significantly after the government announced it would spend another $1 trillion.
Gas prices rose 9-tenths of a cent overnight to $1.942 a gallon. 11 states and the District of Columbia have regular unleaded gas prices of $2 and higher. 39 states have regular unleaded gas prices below $2. The highest gas prices are in Alaska ($2.510). The cheapest gas prices are in Wyoming ($1.755)
Nike today announced the details of its previously announced plan to restructure that could result in the cutting of as many as 1,400 jobs.
The athletic apparel maker said it would pare its management teams and reorganize its Nike brand to focus on six geographic regions instead of the current four.
Finally, Bernard Madoff, the masterminded of the biggest Ponzi scam in history, has been denied his latest bid to get out of jail.
The U.S. Court of Appeals for the 2nd Circuit shot upheld a trial judge's decision to revoke his $10 million bail ahead of his June 16 sentencing. Madoff, 70, faces a potential 150-year sentence in federal prison.
Madoff has been locked up in the Metropolitan Correctional Center in lower Manhattan since March 12, when he pleaded guilty to 11 criminal counts, including fraud, money laundering and perjury.
Anderson Cooper goes beyond the headlines to tell stories from many points of view, so you can make up your own mind about the news. Tune in weeknights at 8 and 10 ET on CNN.
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