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Sunday, November 2, 2008

Goldman ready to pay massive bonuses

The US government pours £6.1 billion and the management pulls out £7 billion as end of year bonuses. Do you think Goldman could have been so generous if the US taxpayer had not helped out.

Investment bankers have always been a detached bunch. I suspect they have no clue about the political fallout that will follow from such greed and stupidity. Taxpayers will demand tight regulation and reform. As the financial crisis turns into a real sector slowdown, those demands will become unstoppable.

This time, at least it is not our money.

Goldman Sachs is on course to pay its top City bankers multimillion-pound bonuses - despite asking the U.S. government for an emergency bail-out. The struggling Wall Street bank has set aside £7billion for salaries and 2008 year-end bonuses, it emerged yesterday.

Each of the firm's 443 partners is on course to pocket an average Christmas bonus of more than £3million. The size of the pay pool comfortably dwarfs the £6.1billion lifeline

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