Maryland Congressman Elijah Cummings (D-Md.), a senior member of the House Committee on Oversight and Government Reform, has come out swinging today in response to Tim Carney’s Washington Examiner story that broke the news that AIG CEO Edward Liddy owns $3 million of stock in Goldman Sachs.
Here’s his full statement.
“I am extremely concerned by recent media reports that AIG CEO Edward Liddy owns more than $3 million of stock in Goldman Sachs, which topped the list of companies that received billions of dollars in counterparty payments from AIG. Regardless of whether or not Mr. Liddy is acting in the best interest of AIG or of his stock in Goldman, even the appearance of conflict of interest is a reason for alarm.
“One of the most important components in restoring our nation’s economy is confidence. Taxpayers must have confidence in how their money is being spent, and investors must have confidence in the markets. Because AIG has received more federal aid than any other company, it is critical that the company’s operations and chief officers have the confidence of the Congress and the American people.
“The actions of CEO Edward Liddy have consistently eroded the confidence of myself and many of my constituents in his ability to lead AIG. Mr. Liddy has often pointed to his dollar-a-year salary as evidence of his pure intentions, but his neglect to mention the bonus he is eligible to receive next year, combined with the $3.2 million he owns in Goldman stock, cause his argument to lose credibility.
“For months, I have been calling on Mr. Liddy to resign from his position at the helm of AIG, and in light of the new information about his stock holdings at Goldman, I renew that call today. It is critical that we have full transparency and accountability from all parties who owe a fiduciary duty to the American taxpayers.”