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Lawmakers Examine Insurance, Finance Industries Amid AIG Outrage

Lawmakers from both parties are joining President Barack Obama in blasting insurance giant AIG for handing out millions of dollars in executive bonuses while taking billions in federal rescue money.

*** FILE *** An American International Group office building is shown in this Tuesday, Sept. 16, 2008 file photo taken in New York. American International Group is giving its executives tens of millions of dollars in new bonuses even though it received a taxpayer bailout of more than $170 billion dollars. The Treasury Department determined that the government did not have the legal authority to block the current payments by the company. A white paper prepared by the company says that AIG is contractually obligated to pay a total of about $165 million of previously awarded "retention pay" to employees in this unit by Sunday, March 15. (AP Photo/Mark Lennihan, File)

WASHINGTON (AP) - Lawmakers from both parties are joining
President Barack Obama in blasting insurance giant AIG for handing
out millions of dollars in executive bonuses while taking billions
in federal rescue money.
A pair of congressional hearings today will focus on the
insurance industry. A Senate panel will look into whether insurance
companies should be regulated by states or the federal government.
Meanwhile, a House committee examines systemic risk in the
financial services industry, with an eye toward avoiding a repeat
of the AIG situation where one company's fall could bring down an
entire industry.
Both hearings are expected to provide lawmakers with
opportunities to take a few more shots at AIG executives.


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