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Lehman board recommended $20 million in executive ‘special payments’ while filing for bailout.

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"Lehman board recommended $20 million in executive ‘special payments’ while filing for bailout."

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The AP reports that Lehman CEO Richard Fuld admitted to Congress today that he has taken home over $300 million since 2000, “some $60 million in cash compensation.” Furthermore, “executives who feared for their bonuses in the company’s last months were told not to worry,” even as Lehman plead for a federal bailout. Waxman revealed that “the board give three departing executives over $20 million in ‘special payments.’” Watch it:

“In other words, even as Mr. Fuld was pleading with Secretary Paulson for a federal rescue, Lehman continued to squander millions on executive compensation,” Waxman said. Transcript:

WAXMAN: Mr. Fuld also mocked the Neuberger suggestion that top management should accept responsibility by giving up their bonuses. His response was: “Don’t worry – they are only people who think about their own pockets.”

Another remarkable document is a request submitted to the compensation committee of the board on September 11, four days before Lehman filed for bankruptcy. It recommends that the board give three departing executives over $20 million in “special payments.”

In other words, even as Mr. Fuld was pleading with Secretary Paulson for a federal rescue, Lehman continued to squander millions on executive compensation.

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