II 110th CONGRESS 2d Session S. 3693 IN THE SENATE OF THE UNITED STATES November 19, 2008 Mr. Sanders (for himself, Mrs. Lincoln, and Mrs. Boxer) introduced the following bill; which was read twice and referred to the Committee on Banking, Housing, and Urban Affairs A BILL To limit the amount of compensation for employees and executives of financial institutions assisted under the Troubled Asset Relief Program, and for other purposes.

1.

Short title

This Act may be cited as the Stop the Greed on Wall Street Act.

2.

Amendments to TARP

Section 111 of the Emergency Economic Stabilization Act of 2008 (Public Law 110–343) is amended by striking subsections (b) and (c) and inserting the following: (b)

Limits on compensation

(1)

In general

Notwithstanding any other provision of law or agreement to the contrary, no employee or executive of a financial institution that is assisted under the TARP may receive aggregate annual compensation, in any form, from the financial institution in an amount in excess of the amount paid to the President of the United States in accordance with section 102 of title 3 of the United States Code. (2)

Previous compensation applied to aggregate

If an employee or executive of a financial institution that is assisted under the TARP has received aggregate annual compensation in excess of the amount paid to the President, as described in paragraph (1), for a calendar year prior to the date on which the financial institution first receives assistance under the TARP, such employee or executive shall be prohibited from receiving any further compensation for such service during that calendar year. (3)

Definition

For purposes of this section, aggregate annual compensation includes bonuses, deferred compensation, stock options, securities, or any other form of compensation provided to an employee or executive. (c)

Reimbursement of funds

If a financial institution assisted under the TARP elects not to comply with the requirements of subsection (b), such financial institution shall immediately reimburse the Secretary for any amounts that it received under the TARP to that point. Such reimbursed funds shall be used by the Secretary for foreclosure mitigation efforts, as determined appropriate by the Secretary and in accordance with this Act. .