US SEC proposes say on pay for TARP companies

WASHINGTON, July 1 Wed Jul 1, 2009 11:01am EDT

WASHINGTON, July 1 (Reuters) - U.S. securities regulators proposed on Wednesday giving investors a greater say on executive pay at companies that have received taxpayer funds, as requested by Congress.

The Securities and Exchange Commission voted unanimously to give shareholders an advisory vote on executive pay at more than 500 companies that received funds under the Troubled Asset Relief Program (TARP).

The $700 billion bailout program was enacted in 2008 to prop up the banking system, including large, systemically important banks like Bank of America Corp (BAC.N).

However, a number of other industries had begged for government assistance. Now insurers such as Hartford Financial Services Group Inc (HIG.N) have taken federal bailout money. (Reporting by Rachelle Younglai, editing by Gerald E. McCormick)

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