The annual meeting of the World Economic Forum in Davos, Switzerland, this year was not the same. Gone were the sparkling parties and swagger of the “masters of the universe” as bankers made their absences felt in droves. At the same time the world at large, including the growing army of global unemployed, were hoping and demanding that investment bankers had learnt their lessons and would show remorse and contrition.
To date, with the exception of a few brave souls, the majority of senior bankers who had brought the world to the edge of a financial abyss still seem reluctant to say “sorry” for what they have done. Punishing them by cancelling corporate jet purchases is not enough, and the mood is turning ugly as politicians respond to continuing public anger.
Those who dropped out of Davos at the last moment included Vikram Pandit, the chief executive of Citigroup, and John Thain, the former chief executive of Merrill Lynch. It certainly would have been a massive public relations disaster for Bank of America, which took over Merrill Lynch, if Mr Thain had turned up. He was unceremoniously fired after paying out millions to refurbish his office and billions in bonuses, even as his bank was being rescued by the American taxpayer. Other colourful and high-profile ex-masters of the universe not present included Dick Fuld, the chairman and chief executive of the now defunct Lehman Brothers, and Sir Fred Goodwin, who was ousted in November as boss of the Royal Bank of Scotland Group.
No comments:
Post a Comment