“For far too long, we have been shipping American jobs overseas and now we are shipping American taxpayer dollars overseas,” said Kildee. “American taxpayers should be told the truth about where their money is going. They were told that it was to save the American economy—not the global economy. My bill ensures that our taxpayer dollars are being spent on American businesses and American workers.”

The American International Group, Inc. has been the recipient of $170 billion in taxpayer money intended to stabilize financial markets. Of $165 million recently paid out by AIG for job performance bonuses to executives, foreign employees may have received more than $85 million. The TRUTH Act would prohibit TARP funds from being used on overseas operations and on foreign businesses and employee compensation.

Last week, the House of Representatives passed a bill to impose a tax of 90 percent on the AIG executive bonuses, but the effect of that bill was dampened as news reports surfaced that more than half of the bonuses were to foreign executives. Though American taxpayers own an 80 percent share in AIG, the Internal Revenue Service would not be able to recover the bonuses from foreign AIG executives.

“Our hard-earned taxpayer dollars should stay right here in the United States to help American companies and hardworking American families,” said Kildee. “My constituents have had enough of the double standard that rewards greedy executives and asks the hourly workers to take pay cuts.”

When bridge loans were granted to General Motors and Chrysler, they were required to reduce wages and salaries. Auto workers were asked to renegotiate contracts to lower their wages and accept stock contributions for their healthcare fund rather than cash. The TRUTH Act would require other TARP recipients to also make concessions.

The Responsible Use of Taxpayer Help Act was introduced today by author and chief sponsor Rep. Dale E. Kildee along with 13 cosponsors, including Reps. Robert Brady (D-PA), Christopher Carney (D-PA), John D. Dingell (D-MI), Phil Hare (D-IL), Tim Holden (D-PA), Marcy Kaptur (D-OH), Mary Jo Kilroy (D-OH), Michael Michaud (D-ME), Tim Ryan (D-OH), Carol Shea-Porter (D-NH), Bart Stupak (D-MI), Betty Sutton (D-OH) and Pete Visclosky (D-IN).