American International Group turned down CEO Robert Benmosche’s efforts to use the corporate jet, reports Bloomberg. Benmosche said he should be allowed to use the insurer’s company aircraft, however the board decided that flights will be limited to business purposes because any exceptions would require permission from the Treasury Department. AIG’s website notes that personal use of corporate jets is “strictly prohibited.” “For personal use, he ought to hop on a commercial airline,” said Frank Glassner, CEO of Veritas Executive Compensation Consultants. “It would be irresponsible for them to say go ahead and use the corporate jet before the TARP funds are paid back.” Christina Pretto, an AIG spokesperson, said yesterday there is “no conflict between Bob and the board on this matter.”
AIG’s Board Snubbed CEO Benmosche’s Request to Use Corporate Jet
AIG CEO Robert Benmosche’s request to use the company aircraft was rejected.
September 17, 2009