The U.S.'s Fly on the Wall at AIG-Monitor James Cole Has Been Privy To Inside Workings

[kpete]

Source: emptywheel

The U.S.'s Fly on the Wall at AIG
Monitor James Cole Has Been Privy To Inside Workings

Regulators and Congress still want more answers about what happened inside American International Group Inc.

One place they could turn is a government-appointed attorney who has been on site and inside AIG board-committee meetings for the past four years.

AIG has paid lawyer James Cole and his firm, Bryan Cave LLP, about $20 million to oversee business practices at the insurer, according to people familiar with the matter. His reports on the company's progress, periodically delivered to federal regulators since 2005, aren't public.

Mr. Cole was installed inside AIG as a monitor, or independent consultant, as part of a $126 ...(Subscription required)
http://online.wsj.com/article/SB123812186477454361.html





Read more: http://emptywheel.firedoglake.com/2009/03/27/deferred-prosecution-agreements-and-aig/

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Well, as the WSJ reminds us today, AIG entered two deferred prosecution agreements in the last several years and there was a monitor actively involved as AIG engaged in the practices that brought down our financial system.

Here are the documents describing the settlements: 2004, 2006.
http://judiciary.house.gov/hearings/pdf/deferredprosecution/AIG-FP080411.pdf
http://judiciary.house.gov/hearings/pdf/deferredprosecution/Pelletier060207.pdf

[dixiegrrrrl]

1. How can he be an "independent consultant" if AIG pays him??

[Gin]

2. exactly!

[Supersedeas]

3. makes for an interesting interpretation of the conflict of interest rules

[InkAddict]

4. Duh, I donna know, maybe, cause it says so in his contract...

Under glosary to terms:
Cole, hereafter named as the "independent consultant," shall receive compensation...

and contracts need to be honored,doncha know, especially so where compensation and bonuses are mentioned, insofar as they've all been such good team players and collectively done such a fine job of CYA.