Scathing resignation letter from AIG executive published in NY Times

Updated

Jake DeSantis, an executive vice president in American International Group's financial products unit sent a pointed resignation letter to Edward Liddy, the head of the company. That letter was published yesterday in the New York Times and provides an interesting perspective on the bonus and bailout situations.

Specifically, DeSantis criticizes Liddy for throwing him and other bonus recipients under the bus following taxpayer outrage at the bonuses paid by AIG. The unit DeSantis was over didn't cause the major financial troubles of AIG. Yet those employees still had to pay the price for the reckless acts of other units within AIG.

During the turmoil, AIG promised employees like DeSantis that they would receive their bonuses defined in contracts previously signed. Many of the employees did make concessions throughout the drama, such as DeSantis, who worked for an annual salary of $1. Yes, $1. And after putting in his time to help AIG come out of this mess, DeSantis and others received their bonuses but have now been asked to return them.

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