Sanders Goes After Banker Bonuses

The first big chunk of bailout money is being wired to banks this week, and at least one Democratic senator wants to put the brakes on proposed bonuses and shareholder dividends.

Vermont Sen. Bernie Sanders wrote Treasury Secretary Henry Paulson late Friday, asking him to ban bonuses for employees of the country’s nine largest banks and freeze shareholder dividends, as the federal government began doling out $125 billion Monday as part of the larger $700 billion bailout. 

“The same people who created the financial crisis are in line to collectively reap billions of dollars while the middle class is left to pick up the tab,” Sanders wrote.

According to an analysis in Forbes magazine, the nation’s biggest banks have already set aside tens of billions of dollars for year-end bonuses.