Bill Takes Aim at AIG Bonuses

By Dave Jordan, NEWS 9

OKLAHOMA CITY -- Oklahomans voiced their anger after bailed-out AIG executives got cash bonuses.

The U.S. House plans to recoup millions of taxpayer dollars by taxing the bonuses, but the measure didn't get much support from Oklahoma lawmakers Dan Boren (D-District 2) was the only Oklahoma representative to vote in favor of that controversial tax. The move, while popular with his constituents, could face legal challenges.

It was complaint Washington heard loud and clear.

328 representatives in favor of the bill, while 93 opposed the bill.

Representative Dan Boren voted in favor of taxing the taxpayer-funded bonuses AIG executive received as part of the bailout package.

"All of my constituents are behind me, 100 percent on this one," Boren said. "I don't see any reason we I don't know that you're going to find anybody that's going to supports the bonuses."

Perhaps not the bonuses, but the seemingly binding legal agreements that allowed them have angered many people.

Mary Fallin (R-District 5), one of four Oklahoma's house republicans who voted against taxing the bonuses, said that bill was probably unconstitutional. If it is challenged on that merit, Legal analyst Irven Box said the government could recoup its money by letting AIG fail.

"If AIG should go into bankruptcy, the bankruptcy trustee has the authority to undo any contract so it's still conceivable these contracts could be undone," Box said.

Representative Boren believes it's likely this could end up in court, but stands by his vote.

"I think there were lapses frankly with the treasury department and other people who did not catch this," Boren said. "That's not a reason to just let them have the money."

House republicans wanted a bill that would tax those bonuses by 100 percent. This bill only taxes it up to 90 percent. It now heads to the senate for a vote.

President Barack Obama appeared on a late-night talk show Thursday, saying he was stunned when he learned of the bonuses.