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Inspector General: Treasury has created incentive for companies to seek bailouts

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Christy Romero, the special inspector general overseeing the bailout, said that the Treasury Department allows such high compensation for executives at bailed-out auto companies as to create an incentive for other companies to seek bailouts. “Absolutely,” Romero replied when Rep. Kerry Bentivolio, R-Mich., asked her if the Treasury Department had created a “moral hazard” by approving so...

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