A bill introduced into the U.S. Senate this week to withhold the $13 million in bonuses planned for executives of mortgage giants Fannie Mae and Freddie Mac. One the bill’s sponsors, John Thune (R-S.D.) called the planned bonuses “an outrage.” He pointed out the chairman of the Federal Reserve only earns $275,000 per year.
“This addresses what to me is an outrage — paying out bonuses for bad performance and paying salary levels that are way out of whack with similar institutions,” Thune said according to The Daily Republic. “It just violates the sense of fairness most Americans have.”
The bill, co-sponsored by Sen. Mark Begich (D-Alaska), will cap the pay of Fannie and Freddie executives also at $275,000.
“It’s hard to believe those agency executives felt they deserved those bonuses,” Denise Ross reported Thune complaining, citing $150 billion in taxpayer assistance shoveled to the mortgage agencies since 2008.”