Skip to main content

Ken Feinberg Mulling Over Having A Little More Fun With Wall Street

  • Author:
  • Updated:

His time here is almost over but before he takes off for a little maxing and relaxing, the Compensation Cop is apparently thinking about having some fun with bonuses that were paid out that for "the bailout year of 2008" by all banks that took TARP funds and not just the ones who've yet to pay back the blood money. So not just fuck-ups like Citi and Bank of America but also institutions such as, to name a few, JPMorgan, Morgan Stanley and, gird your loins, Goldman Sachs. Feinberg has just finished a "look back" at the cheddar paid out by those institutions and according to Charlie Gasparino, "does not like what he saw."

Sources say that Feinberg, in concluding his study, and one person with knowledge of Feinberg’s thinking says he is “leaning” toward forcing at least some of the big banks that he reviewed to give back bonus money.

Of course, there is the slight issue of Feinberg not exactly having the "authority" to force anyone to do anything but Chaz thinks there's a chance the banks may just give the money back anyway to "escape public scrutiny" (one might argue that public scrutiny as it relates to the banks giving a golden sack about it is so last year but same diff, diff). Also, when it comes down to it, it's not actually up to Feinberg at all but rather Tim Geithner who has the final say, which means there's gonna be only one way to settle this, and it involves Blankfein working on his jump shot.


Bonus Watch '13: Deutsche Bank Is Mulling Over The Idea Of Paying A Li'l Less This Year, Would Appreciate Rivals Throwing Them A Bone And Doing The Same

The Germans might take an ax to bonuses, cutting them by 20 percent, or they might not. According to CEO Anshu Jain, what it may come down to is whether or not other banks will help him out here by getting on board with the proposed reductions, as it would make DB look bad to be the only firm doling out tough love this year. Thanks in advance.