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HEADLINES:

AIG chiefs pressed to return bonuses

Simon English
20.03.09

Executives at the Mayfair office of bust insurer AIG are under rising pressure to hand back bonuses.

Staff at the Curzon Street financial products office, dubbed Ground Zero of the financial crisis, are being asked to repay money they received from a $165 million (£114 million) bonus pool.

In the US, anger at the payments is huge in the wake of the American government's $180 billion bailout of the company.

The Wall Street Journal says Douglas Poling, an executive vice president, has offered to return his $6.4 million bonus - the largest paid to any of the 418 current and former staff of the financial products arm. Protesters in US cities have been demanding that the bonuses are returned.

One executive James Haas, dubbed Jackpot Jimmy by a New York newspaper, has handed back his cash after receiving death threats.

Edward Liddy, who became chairman and chief executive after the bailout, has asked those who got more than $100,000 to pay back at least half.

He claims the bonuses were necessary to "maximise the amount we pay back to the government" by avoiding a collapse of the division.

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