AIG disputes Dogging Dodd May Bite at election time

 

Tuesday, Mar 24,2009, 12:19:15 AM   Click:

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21 March 2009 Saturday 10:33 AM EST

SECTION: POLICIES

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TITLE: AIG dispute Dogging May Dodd bite during elections



The fallout from the wrath of AIG on bonuses is Senator Chris Dodd of Washington following the return to Connecticut.

In an example of Dodd the new political reality uncomfortable, which was supposed to be a media event of any federal funding for communications equipment for emergency Enfield, Connecticut, police and fire departments s 'is transformed into something very different.

When it came time for questions, only questions from journalists concerned Democrat Senator of its role in the delivery of premium AIG.

The big question is whether the chairman of the Senate Committee on Banking and political participation, will make him vulnerable next year when he faces re-election.

At the demonstration Friday Enfield, Dodd said he was misled on the issue of bonuses for executives of AIG. He said he would not have drafted the main legislative changes allowing premiums to move forward if he knew that the purpose of these changes.

Dodd said the officials of the Treasury Department led him to believe that changes, added to 787 billion economic stimulus bill shortly before his passing last month, are only "technical and harmless" in nature.

"If someone said AIG or bonuses, I have not dismissed immediately, of the hand. But the argument was that technology was," said Dodd.

Dodd said he was disappointed that the Treasury officials who asked him to make the legislative changes have not identified themselves.

People are outraged over the bonuses distributed to executives at AIG and elsewhere, "said Dodd. "I do not blame them ... No one is angrier than I am."

The public outrage exploded over $ 165 million in premiums by the insurance giant at a time when the company was refloated with the taxpayers' money.

Dodd told CNN on Wednesday that he was responsible for the language added to the stimulus legislation to ensure that existing contracts for companies receiving grants for federal money to rescue were honored.

An official of the Treasury Department said the Obama administration has pushed for the language. Both Dodd and the official, who asked not to be named, said the administration feared that the government would face trials without language.

Dodd initially denied he had anything to do with the language used to justify AIG to pay millions in bonuses.

On Thursday, the House of Representatives has passed legislation to try to recover the bonuses. The tax on those premiums received in 2009 by companies that get $ 5 billion or more in money from the Troubled Asset Relief Program. Bonus for those with incomes over $ 250,000 would be taxed at a rate of 90 percent.

"In a sense, I am accused of trying to do something, and accepted a technical change," said Dodd.

"But I'm glad I drove on the issue. And yet I continue to do so. And he started last fall, during the first legislation in this field. Now, people will do what they want on the political level, "Dodd said.

"But I have enough faith. I have been through eight elections in the state. And people are smarter than politicians give them credit. And they can see through the policy."

But some Democrats are concerned about how this will affect their long-time senator.

"I felt very sorry for him, but I think it could probably be the end of his political career," said Grace Darling Democrat at Peppe's Pizza in New Haven.

"As a Democrat, you hate to see someone lose their seats, but I have to see who runs against him," said another patron, John Piurek.

A candidate is former Republican Rep. Rob Simmons, who announced this week that Dodd challenge next year.

Simmons sees an opening, saying that Dodd "failed in its oversight responsibilities. I think that the documents and all others have been entitled. This is a flip-flop."

Simmons does not even have a campaign office, but a Quinnipiac University poll taken before the flap shows AIG with 1 point ahead of Dodd.

"Dodd must be concerned because it has fewer than 50 percent against a former member who is not so known outside his old neighborhood," said Quinnipiac polling director Doug Schwartz.

The Republican National Committee slammed Dodd Friday in a Web video highlighting Senator to insert language on AIG bonuses. The RNC is also trying to cash by sending the national fund-raising solicitation.

Dodd said the GOP in 2007 concentrated on the operation for the Democratic presidential nomination when he should have concentrated on his duties as chairman of the Banking Committee.

Republicans speak of an ethics investigation panel discount Dodd received mortgages from Countrywide Financial Corp., a large loan company in the middle of the house locking crisis. Dodd said he was unaware of the discounts.

"We intend to hold Senator Dodd accountable for his record in what is preparing for a highly competitive race in a traditionally blue," said NRSC spokeswoman Amber Wilkerson.


The Campaign Committee Democratic Senatorial responded.

"Senator Dodd is the one who led the fight against excessive executive compensation, often despite the opposition of many of his fellow Republicans.

"People know that Connecticut is a leader on this issue, and any attempt to make them responsible for what happened to AIG is a good shot that absurd not ring true, even at a distance anyone familiar with his strong record on law enforcement excessive pay "DSCC Communications Director Eric Schultz said.

"I know that I was targeted. When you have Dick Cheney and Karl Rove and Rush Limbaugh talking about you all on the same day, it is not coincidental. As I said, I was born at night but not last night, "said Dodd.

He acknowledged that he would like more drilling, but he thinks that people see through the political scorecard.

"I have enough confidence in them that if I do my work on their behalf, which is what they are interested, their jobs, their homes, their retirement, their kids' future, the policy 's care of itself. "

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