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Page last updated at 09:28 GMT, Wednesday, 18 April 2012 10:28 UK

'Major milestone' in curbing top bankers' pay


The bank's chief executive, Vikram Pandit, is being paid $15m for last years work and a further $10m to keep him on but 55% of shareholders either rejected or abstained in a non-binding vote on the deal.

Mike Mayo, an analyst at brokerage CLSA and author of the book, Exile On Wall Street told the Today programme's Simon Jack that this was a "major milestone" on Wall Street as in the last decade Citigroup have made almost more than any other bank while also having the worst stock price performance as executives continued to get huge bonuses.

"That's not capitalism, that's entitlement," he said.

Mr Mayo went on to say that "this is a unique opportunity for Citigroup to say we're listening and we'll revamp the way top executives are paid".

He pointed out that "this is not a regulator encouraging a change... it's Wall Street speaking up about bad compensation practices" as shareholders are speaking up and taking control.

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