Bing Blog

Blankfein vs. Dougan -- Compensation Smackdown!


Word comes from Credit Suisse that Brady Dougan, the Chief Executive of that fine fiduciary institution, earned $17.9 million in 2009, which is six times more than he made in 2008. This makes good sense. 2009 was a much better year than 2008, and any fair evaluation of compensation should account for that. Also, Mr. Dougan's comp is pretty much consonant with the nuts and berries that were paid to execs at a variety of financial powerhouses, all of whom worked very hard last year.

Still, if I was Lloyd Blankfein of Goldman Sachs, I'd be a little peeved. Jack Kent Cooke, titan from the pre-Cambrian epoch of saurian life, once said that money was only a way of keeping score. This was a piquant observation for those who still need it to pay for groceries and housing, but all carnivores at a certain evolutionary level understood what he meant. Beyond a certain point, it's all about whose bonus is bigger. And by that yardstick, I'm thinking Blankfein has a beef. He only made $9.6 million last year. That's barely $5 million after taxes. Hardly seems worth showing up.

He'd have plenty of help if he chose to make a stink. Last year's bonus payments on Wall Street plunged more than 12% to an average of only $812,800.  There's very little of note that you can do with that, other than bank it and hope for a better 2010. The good news is that the way things are going in Washington, that's a pretty safe bet for anybody in the financial business, if for nobody else.

27 Comments Add Comment

consonant = consistent?

Yes, Brad.

As even every Zimbabian child knows, possessing a svelte body fat content of greater than 0.005% is nothing more than just keeping score.

They're both over-paid. Neither one of them can dunk, neiter one can drain a 3.

Boys. Boys. Let's keep this in perspective. Miley Cyrus made 25 million bucks in 2009.

But then again her industry didn't take the world economic system to the brink.

"Jamie, How you doin? Yeah, that's right, nine and change. Hey, you wouldn't know where I could get a stripper pole?"

Miley, an asspirational brand for us all!

Achy Breaky Heart

You can tell the Feds,
I went and bought Club Med.
How do you spell Antigua, anyway?
Or you can tell my friends,
the weekend parties end,
until my tattered wallet mends.

But don't tell my heart,
my achy breaky heart,
my bonus won't even reach ten.
For if you tell my heart,
my achy breaky heart,
We might have to go
beggin D.C. again.

Achy Breaky Heart (2nd verse)

You can tell Auntie Pearl
as her it curls,
watching CNBC Bartiromo chick,
And you can tell Uncle Merle,
as his dinner 's hurled,
Watchin Jimmie Cramer's latest shtik.

But don't tell my heart
my achy breaky heart,
my bonus won't even make ten.
For if you tell my heart,
my achy breaky heart,
we might have to bring
Lehman up again.

"Epoch of saurian life" made it worth coming to work today. Thanks.

What's a safe bet? That we're going to pay 65% of income in taxes?

No, SE. That there will be NO regulation, no effort to stem any of the abuses that created the recession, and that everybody will wake up one day to another horrendous meltdown as if we didn't know it was coming. And that in spite of that, people will nod at each other and talk about how the unregulated marketplace works just fine.

Per Stanley, "No, SE. That there will be NO regulation, no effort to stem any of the abuses that created the recession, and that everybody will wake up one day to another horrendous meltdown as if we didn’t know it was coming. And that in spite of that, people will nod at each other and talk about how the unregulated marketplace works just fine."

The most amazing thing is that one would expect the beneficiaries of such a stilted system, i.e., Wall Street, to voice such sentiments, but I'm hearing working people of retirement age (who've lost their entire retirement nest-eggs) argue that the solution is even less regulation.

Perhaps never giving a sucker an even break is an entirely legitimate life philosophy. I find the situation very depressing. When I see them at Walmart, working as greeters at the age of 75, I'll make an effort to remind them that these 'free-market' things are, indeed, as they should be.

Maybe they're right and you're wrong, Mike.

In keeping with Brad's spirit

Zimbabian = Zimbabwean?

And now that we are speaking of earnings was that $48M Madonna pocketed in 2009?

think i need to go puke

SE: "Maybe they’re right and you’re wrong, Mike".

Doubtful, SE. Only a fool would argue against their own interests....Wall Street isn't silly enough to do so, but these retirees are at an age when they can't admit they got taken to the cleaners by some slick guys in suits....such nicely dressed and well spoken people wouldn't do such a thing. could even less regulation of our financial morass help their situation? Perhaps by privatizing their social security 'accounts'?

With people like you at the helm, it's easy to see how we got into this mess, and your prescription would simply be more of the same poison.

Just as derivatives are financial weapons of mass destruction and risks that won't go away; bonuses can also have the same classification.

It just may be that big bucks passed out to schmucks will come back to the fold, not as gold; but as shucks, we're sitting ducks!

Based on the limited anecdotal evidence at my disposal, there is a strong inverse correlation between actual ability and faith in the financial system. The biggest Ayn Rand fans I know are perpetual grad students, out-of-work bartenders, etc. I have to agree with Mike here--a lot of people hold the views they do because they fantasize about being in the top .00001% rather than the more familiar bottom third.

Kudos to Paul, nice song there. Got me ticked there.

I actually don't have TV so my news on economics is limited but, it still makes me so sick to hear the amounts that they make. But entertainment does sure pay well.

Financial compensation is the new WMD to me. There terrible but damn, it'd be like a kid in a candy store, if did manage to grab one of those.

I still don't understand what justification they have in their heads when they get paid that much.

It is very tough to be a casino manager, it is a 24/7 hour job, specially the managers of big casino operations in cities like Las Vegas, Atlantic City and Wall Street. Do not forget that along with MGM, Las Vegas Sands and Wynn Resorts, Goldman Sachs and Credit Suisse are the top biggest casino operations in the whole universe. Watch the movie "Casino" with De Niro and Stone and you will have an idea how tough is to manage a casino operation. Poor Blankenfeisten and Dougameister, leave them alone!, poor fellas!!!!!! they do it for the love of their country and humanity!!!!!

consonant = consistent?
Zimbabian = Zimbabwean?

I have another one:

Las Vegas = Wall Street = Atlantic City ?

MGM = Goldman Sachs = Wynn ?

I used to have some respect for Wall Street: the companies and people; but now, that they have been somewhat exposed, I feel repulsion every time I hear or read something related to "the Street": I thought they were extremely intelligent people, the best of the best, but they are not! they are nothing but a bunch of careless and reckless bunch with very low E.Q.'s; you do not need to go to top universities to find people willing to be careless with other people's money!!! hey, I can do it for 1/20th of their whole annual pay, without the perks and I do not need the corner office with the art and gold toilette!!!!!!!!!

Leave my friends alone. Like me, they are nothing but hard working average Joe-six-pack people who are only interested in the good of America, leave us alone and let us rescue America!!!!!!

How come Wall Street money is the only one that does not trickle down? there must be something stuck on the pipe that makes the "trickle down" from Wall Street happen,,,

What do you think about Michael's Moore latest picture "Capitalism" ???

"And by that yardstick, I'm thinking Blankfein has a beef".

The Tennessee Ridge Runner, Jerry Reed, was not far off in his signature song about "She got the gold mine, he got the shaft!"

Isaac, you're on the right track, but we should include the differences between a casino and Wall Street.

- A casino doesn't charge us just to enter the building. Wall Street middle men like Goldman have fees just to enter the game.

- Casinos don't charge us when we have money in the building. Wall Street has account management fees.

- When we put a quarter in a one-arm bandit, Wall Street would be there to charge a trading fee.

I think that any self respecting casino would be insulted if they were compared to Wall Street.

To add to Jim's comment about casinos:

If Wall Street had been run like the casinos, our financial situation would be very different. The casinos are tightly run organizations with a strong focus upon risk control.

Update .Dec . 28th. 2010.

Nov.23 - - -Nov.26 th. 2010.
The following sent to - - - - 312- - Lords - - - - - - House of Lords.
The following sent to - - - - 649 - - M.P.'s - - - - - House of Commons.


Pictet & Cie Bank.

Ivan Pictet.
Charles Pictet.
Nicolas Pictet.
Jacques de Saussure.
Jean – Francois Demole.
Renaud de Planta.
Philippe Bertherat..

Pictet & Cie.- claim they are the “Rolls Royce”of swiss banks.

Swiss Banks or more correctly Swizz banks.

Swizz. ---- “ a great disappointment.” or a “ fraud.”

Fraud. ---“ an intentional deception or dishonesty.”— “a crime.”

Crime. ---“ an act committed or omitted in violation of a law.”

Serious Crimes .
Conspiring to pervert the Course of Justice.
Perverting the Course of Justice.
Contempt of Court.

Pictet & Cie Bank –Partners –(1996—2010)-liable.
Peters &Peters – Partners.—(1999----2010)-liable.

The bank and it’s officials/lawyers deliberately withheld crucial documents requested under a High Court order. The bank and it’s officials/lawyers deliberately withheld evidence from the Police, and one of it’s account managers Susan Broadhead gave a false witness statement to the Police.
Another one of it’s managers Nicholas Campiche ( Now Head of Pictet – Alternative Investments.) concocted a letter pretending to be a client and closed his account. The senior partner (Ivan Pictet.) sought to have numerous documents destroyed,along with those copies held in their London office’s of Pictet Asset Management. Initially stating that they were forgeries then their lawyers Peters & Peters – Monty Raphael –and the barrister Charles Flint.Q.C. later had to admit in Court that the documents were genuine.

British Parliament. Hansard .29th March 2007.
Barry Sheerman .M.P.—quote.

---------“ Constituents of mine have lost £2 million through fraud. The fraudster used Pictet & Cie - - a French Bank - - and Pictet Asset Management to back the fraud being perpetrated.””

(1) It is a criminal offence for a bank to knowingly act for an undischarged criminal bankrupt in so far as it seeks to assist that criminal bankrupt in the fraudulent movement of monies. ( Money Laundering.)

(2) It is a criminal offence for a bank to lie to the police and the bankrupts trustee in bankruptcy in so far as any knowledge of, or dealings with the bank was refuted .

(3) A bank can be guilty of Contempt of Court if it fails to comply fully with the Courts order for discovery .

(4) The banks contempt is further compounded if it fails to address its error after it is specifically drawn to the to its solicitors attention. ( Monty Raphael).

(5) It is a criminal offence under the Financial Services Act to seek to destroy evidence that might be relevant to an investigation .

(6) It is a criminal offence not to relinquish control of funds to the Trustee immediately the fact of the bankruptcy is drawn to the banks attention.

(7) It is a criminal offence to lie or otherwise obfuscate the lawful and proper enquiries of the F.S.A.

In the F.S.A. cover up , they concluded that there had been “ Rogue” elements in Pictet & Cie’s , London operations . They had been moved from their London Office so who was there left to prosecute. “ Unbelievable.”

On Dec 9th,2008. the complaint was sent to 150 Members of the House Of Lords and 230 Members of Parliament.

*** We thank --David Cameron. M.P. ( Canary Wharf Speech.) Dec. 15th. 2008.

(1) Bankers who behave irresponsibly should face professional consequences.
(2) If anyone is found to have behaved criminally they must be prosecuted.
(3) The F.S.A and the Serious Fraud Office should be following up every lead,
investigating every suspect transaction .
(4) We need to make it 100% clear –those who break the law should face
(5) That we make sure we root out any wrongdoing that may have happened, whoever
is involved, however high or well connected they may be.

Ivan Pictet.
Managing partner in Pictet & Cie Bank . --- retiring -?. 2010.
President of the Geneva Financial Centre. ---stepping down -2010. ?
World Bank.committee member.---- ?
United Nations. Investment Committee member,
Vice President – Global Humanitarian Forum. --- redundant.2010.?
Member of the Henokiens.
Blackstone Group --- Board Member.
Past- President – Geneva Private Bankers association.
Past –President – Geneva Chamber of Commerce and Industry.

Monty Raphael. ( Peters & Peters.)
Quote.” ---- Doyen of U.K. Fraud lawyers.
Head of Fraud and Regulatory Dept. ---- stepping down, --2009.? Director of the Fraud Advisory panel.
Member of the Law Society of England & Wales.
International Bar Association Member.

Written Parliamentary Questions received by the table office ..

(1) To ask the secretary of state what steps he is taking to ensure that Swiss Banks such as Pictet & Cie do not evade criminal prosecution under EU law even when the illegal act is committed by a London based subsidiary.

(2)To ask the secretary of state what steps he is taking to protect the rights of UK citizens who seek redress following criminal activities by Swiss banks with subsidiary offices located in London.

On Dec 9th,2008. the complaint was sent to 150 Members of the House Of Lords and 230 Members of Parliament.
On Aug 19th.2009.another complainants file regarding the “cover up” was forwarded to the same 380 members.

We started our campaign in June 2008 -- via the “net” to highlight our fight to get “justice”. In our second year campaign we hoped to reveal further damning evidence . Due to there being an on going Police investigation into our complaint we are at this moment unable to place dozens of documents on to the “net”. Again we thank other “ E- Mailers” for their information in relation to our campaign.

Quote. ( America’s Top Lawyer .)
You can be the richest man in the world with the best lawyers that money can buy but you cannot win against a man who has got nothing left to lose and is telling the truth.

Truth Hurts.
Ivan Pictet. Announces stepping down from Pictet & Cie. 5th Feb 2010.
Stepping Down—President of Geneva Financial centre.—2010.
Monty Raphael. Steps down as head . May. 2009.

*** We note that there has been a sharp increase in Peters & Peters partners leaving to go to other practices. Moving does not alleviate them of any responsibility from any illegalities that may have occurred at Peters & Peters during their partnership tenure. From 1999 onwards.

*** Were currently waiting to see if the Police and other Law Enforcement Bodies attempt to cover this case up like their F.S.A. counterparts. If they do –“ then watch this space.”

We were informed that due to pressure from our M.P. that the Ministry of Justice have asked Lord Myners to investigate our claims that the F.S.A. covered up the illegal activities of Pictet Asset Management. London.

The consensus of opinion is the Pictet & Cie should be prosecuted , and that their U.K. banking licence should be taken away.

Their Solicitors at Peters & Peters .London “ struck off and prosecuted..”

*** Started campaign --- June 6th.2008.
2 .5 years ---- approx 2 .5 million e-mails - - - but still no writs, injunctions or threats of litigation - - - WHY - - - because it is all true.

*** . The bigger they are --- the harder they fall.!!!
In America ---- they would have all been in prison for the last seven years.
Nov.23rd --Nov.26th. 2010 .
The above sent to ------ 312 - - Lords - - - House of Lords.
The above sent to --- --649 - - M.P.'s - - - House of Commons._

Full Story.
Go to search box on “Google” and insert ( Ivan Pictet / Monty Raphael) or
insert ( Pictet & Cie / Monty Raphael ) - - then try it on “Google”.
Or try on Yahoo. - - - ( Charles Flint Q.C.) .
Or try on Yahoo - - - ( Nicholas Campiche.)