Like his predecessor Eliot Spitzer, New York AG Andrew Cuomo is trying to build political capital by riding the populist anger at Wall Street. And of course, executive pay and bonuses are easy things to target.
Unlike Spitzer, notes WSJ, he’s working with Washington lawmakers, including Barney Frank, to craft new executive compensation laws that will link pay-to-performance. Ideas include ways to stagger executive pay over a period of time, so that if the firm blows up the exec won’t get their cash.
Here’s what’s odd: A person ‘close to Cuomo’ says it’s not his intent to micromanage or interfere with the private sector.
Uh, yes, it is. When you’re a lawmaker designing comp schemes, you are micromanaging and interfering with the private sector. And beyond that, why is this something the insider is allowed to say anonymously. This isn’t news. He’s not leaking something about Cuomo. He’s colouring opinion without having to stand by it.
Anyway, as we’ve been following Cuomo’s investigation, we think we’re qualified to be “people familiar with the matter” for the next story. We’d love to put in a contrary quote.