Bailouts | featured news

Investors respond positively to plan to remove up to $1 trillion in bad assets from banks' books.

Fallout from anger over AIG's bonuses is following Sen. Chris Dodd from Washington back home to Connecticut.

The House of Representatives is expected to vote Thursday on legislation to try to recoup bonuses paid to Wall Street executives with taxpayer money.

At least 13 firms receiving billions of dollars in bailout money owe a total of more than $220 million in unpaid federal taxes, a key lawmaker said Thursday.

Democrats and Republicans tried to outdo one another in voicing indignation as the House debated a bill to punish A.I.G. executives who got big bonuses.

The U.S. Treasury Department on Thursday pledged to provide up to $5 billion in financing support to auto suppliers to help them survive a massive downturn in car sales.

President Obama said Wednesday that no one in his administration had been responsible for supervising ailing insurance giant AIG but that ultimately, the buck stops with him.

The chief executive officer of failed insurance conglomerate AIG acknowledged Wednesday that the company's multimillion-dollar bonuses were "distasteful" to many and had provoked a firestorm of wrath.

White House Press Secretary Robert Gibbs is not a lawyer, nor does he play one on TV. So when just about every question at Tuesday's afternoon briefing concerned bonuses at insurance giant AIG, Gibbs had a non-answer at the ready. "I'm not a contracts lawyer," he said at one point, later explaining that he was "not a contract lawyer," either. When asked whether the president could simply deny more money to AIG unless it scrapped bonuses, he repeated: "Again, I'd refer you to a contract lawyer, which I'm not one."

President Barack Obama declared Monday that insurance giant American International Group is in financial straits because of "recklessness and greed" and said he intends to stop it from paying out millions in executive bonuses.