Congress Shines Spotlight on Exec Comp

A new investigation by Congress provides a rare glimpse into the workings of three top boardrooms in corporate America, raising serious questions about whether there is a widespread failure among executives and directors to live up to their fiduciary duties.

The report examines the compensation practices at Citigroup (C Quote), Merrill Lynch (MER Quote) and Countrywide Financial (CFC Quote), three companies that have become engulfed by massive losses related to the mortgage market.

Recent payments, stock purchases and retirement packages enjoyed by current and former CEOs at the three companies show a breakdown in corporate controls designed to protect the interests of shareholders. ...