Money Matters - Simplified

Fedreal pay Czar Kenneth Feinberg

Big-bank execs not asked to return bonuses

Washington -- Federal pay czar Kenneth Feinberg said Friday ill-advised bonus payments were made to executives of 17 U.S. financial firms in late 2008 and early 2009.

But Fineberg, who is also in charge of doling out BP oil spill claims, did not ask the firms, which include Goldman Sachs, Citigroup, Bank of America, Wells Fargo, JP Morgan Chase, CIT Group and AIG, to try to recover the nearly $1.6 billion in executive compensation, The Wall Street Journal said.

Feinberg concluded that it would not be fair to force the firms to return the bonus payments deemed excessive because that could lead to a storm of lawsuits and more congressional investigations.