by Pam Martens and Russ Martens
Wall Street on Parade
The House Financial Services’ Subcommittee on Investor Protection, Entrepreneurship and Capital Markets will convene a hearing at noon today that is titled: “Promoting Economic Recovery: Examining Capital Markets and Worker Protections in the COVID-19 Era.” You can watch the hearing live at this link.
One of the topics for the hearing will be corporations buying back their own stock and paying dividends during the pandemic, actions which benefit shareholders rather than the overall economy. The House is considering legislation that would require that until all federal aid under the CARES Act has been repaid by the corporation, it cannot “pay bonuses to executives, may not pay executives in connection with their termination, may not engage in stock buybacks, and may not pay dividends to shareholders.”