What kind of BS is this? If the government is bailing out the conpany, why are these dorks not feeling any heat?
Fannie Mae CEO Donald Mudd= $9.3million
Freddie Mac CEO Richard Syron= $14.1 million---ocatchings
In a word...contracts.
My first guess is contracts.
Senior Executive employment contracts are extraordinarily 'tight' regarding the limiting of liability.
Exemption of liablity consequent to executive decision making is an absolute priority.
Insurances are purchased to protect against acts of commission AND omission.
Corporation liability is assigned for liability both civil and criminal.
Compensation is assigned for any, and often all, of the above.
I once prosecuted a company on 23 counts against each of three defendants...totaling 69 counts before a single court.
At the hearing, the plant manager thank me!!!!
In compensation...ALONE...his contract required the company to pay him $10,000.000 per count...PLUS...some period of time from work...with standard pay to 'recover'.
These benefits were outside of, and beyond, any production-based premiums and/or bonuses.
I say contracts.