Citigroup's Pandit Paid US$11 Million As Citigroup Took Bailout Money

Yet another news that would displease many!

Are you reading Singapore?

Pandit paid $11m as Citigroup took $45bn bailout

• Vikram Pandit was paid almost $11 million (£7.8 million) to lead Citigroup in a year that the troubled US bank required $45 billion in handouts from the taxpayer.
  
  A regulatory filing by the company showed that Mr Pandit, who was hired as chief executive in December 2007, was paid a basic salary of $958,333, stock awards valued at $8.2 million and options worth $1.6 million.
  
  Most of the stock award was a $7.7 million signing-on bonus for taking the job at a time when the bank was struggling.
  
  Mr Pandit's other compensation included $2,393 for "ground transportation" and $13,800 in pension contributions. But he paid the company for his personal use of Citigroup's aircraft — a sensitive issue following recent criticism by President Barack Obama over the bank's plan to buy a new corporate jet.
  
  The revelations come as executive compensation is under unprecedented scrutiny from lawmakers and voters infuriated at the multibillion dollar bailouts handed to banks that continue to pay huge bonuses to workers.
  
  AIG is under fire for paying $165 million in bonuses yesterday to executives at its stricken financial products business, despite needing $170 billion from the Government to survive.
  
  Mr Pandit, who was not paid a performance bonus last year, agreed to work for a base salary of $1 and no bonus this year.
  
  Citigroup, which promised following its most recent government bailout to clean out its boardroom, today announced four new board nominees.
  
  Jerry Grundhofer, former chief executive of US Bancorp, Michael O'Neill, former chief executive of Bank of Hawaii, William Thompson, former chief executive of Pimco, and Anthony Santomero, former president of the Federal Reserve Bank of Philadelphia, have been nonimated as directors.
  
  Shareholders will vote on the appointments at an annual meeting on April 21.
  
  Richard Parsons, who replaced Sir Win Bischoff as Citigroup's chairman in January, said at the time that he would inject new blood into the board. He reiterated his plans last month when the Treasury took at 36 per cent stake in the bank to shore up its capital base.
  
  The Treasury had demanded a more independent board in return for its support of Citigroup.
  
  Sir Win and Robert Rubin, the long-time director and adviser as well as director Roberto Hernandz Ramirez said that they would not stand for re-election at the April meeting. Board members Franklin Thomas and Kenneth Derr said that they would retire.