Targeting obscene executive pay

10/07/2009 10:00 PM

By ANN GERBER

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THE GLOBAL FINANCIAL MELTDOWN has put the spotlight on bloated executive pay and the excessive risk-taking behavior it fueled.

FILMMAKER MICHAEL MOORE CASTIGATES GREEDY BANKERS and others in the wake of the recession, complaining that “democracy is needed ... CEOs are taking 500 percent more a year than the men and women who keep their firms running.”

MOORE SPELLS IT OUT IN HIS ACCLAIMED new film Capitalism: A Love Story, now on local screens. No bailout should happen without changing the disparity where the average CEO makes 344 times the pay of the average worker, according to the Institute for Policy Studies and United for a Fair Economy. These organizations want CEOs and their boards to pay for the bailout.

AS FOR THOSE WEAK-KNEED BOARDS that do the CEOs’ bidding and grant them huge, unfair salaries and golden — no, platinum — parachutes, a report from the Harvard Business School is worth considering. Stockholders deserve more of a say about executive compensation, and board members need more smarts.

THE HARVARD PLAN ENVISIONS a nonprofit, public-private Corporate Governance College to employ, train and coordinate placement of full-time professional directors. To launch the college, the proposal seeks a congressional mandate to require companies receiving federal Troubled Asset Relief Program bailout money to allocate three board seats to directors employed by the college. These firms would serve as models to encourage non-TARP companies to allocate voluntarily slots for three CGC directors.

THIS HARVARD PROPOSAL anticipates demand for roughly 500 professional directors within five years. Everyone agrees industry experts are needed on boards, but most know little or nothing about the companies they help run. And no professional board members would serve on more than four boards and could hone skills in oversight and governance.

MICHAEL MOORE’S on-target shot at greed and its human cost shows us all how far we’ve fallen for the wiles of deregulation and clubby, “captive” boards of self-serving management.

Love Moore or hate Moore, he exposes the greed that has us at its feet.

Gossip, gossip, gossip

WHO ARE THE NORTH SHORE SOCIALITES saved from harm by a porno movie? Ten had dined in the 100-year-old house and just left the dining table to see the flick in the host’s theater room, when the ceiling caved in, crushing the table and chairs and sending broken china everywhere. If they had been chatting and savoring cigars, as usual, they would probably been killed or severely injured.

“KILL BILL” STAR UMA THURMAN will strut down a red carpet today and she expects applause for her latest movie, Motherhood, at the AMC River East 21 theater for opening night of the Chicago International Film Festival. The tall blonde will receive a career achievement award. Her current fiancé, Arki Busson, may be with her. He’s the Swiss banker who put friends into Bernie Madoff’s funds and they’ve lost billions. Said to be furious with him is Princess Caroline of Monaco and her husband, Prince Ernst August of Hanover, rumored to be minus zillions of euros. Uma’s flick is a comedy about a Manhattan mom under siege rearing kids and seeking a career as a writer.

ACTOR HUGH JACKMAN, on Broadway in The Steady Rain, invited friends Al and Beryl Blitz of Chicago to go backstage and visit with him and wife Deborah-Lee Furness. The Blitzes were taken by Jackman to a taping of The View at another get-together.

WE MISS HER BITCHINESS on Desperate Housewives, but devilish “Edie,” curvy actress Nicollette Sheridan is expected in town Friday to reign at the Conservation Ball for the Friends of Conservation at the Fairmont. Founder Jorie Butler Kent and daughter Reute Butler, president, attract friends like Lord and Lady Wedgwood, Stephanie Powers, Lord Patrick Beresford, and others concerned about this land, “not inherited from our ancestors, but borrowed from our children.” The gala is always a social highlight of the season.

SEXY NICOLLETTE CAN COOK! The actress will auction a dinner at the gala. Some lucky guest will get the curvy blonde to create a memorable meal for 10 in their home. On Oct. 21, Saks will host a lunch for conservationists led by Reute Butler, with all those dazzling diamonds from the Field Museum on view.

CONGRATS to Gov. Pat Quinn and Anthony Shriver, son of the late Eunice Kennedy Shriver, who will receive Victor Awards from the Neumann Family Services on Oct. 10 at ceremonies in the Cultural Center for their work with developmentally disabled and mentally ill adults.

TO BE OR NOT TO BE 1000 Lake Shore Plaza is the question, and it is causing a split among neighbors at that corner condo. Next door to the north is 1000 Lake Shore Drive and the confusion is leading to talk of a new address for the Plaza. Now it is up in the air.

JUDGE RHODA SWEENEY was surprised with a birthday party by adoring friends and family.

SLEAZE OF THE WEEK: Former Sen. John Edwards who, according to ex-pal aide Andrew Young, told mistress Rielle Hunter he would marry her after his wife Elizabeth dies from breast cancer. She has been valiantly battling the disease with no help from her womanizing husband.

THE OPENING OF THE LYRIC OPERA SEASON with a magnificent Tosca had the movers and shakers in black-tie with the real gems and ball gowns we have grown to expect. The glam was off a bit with this recession, but our grand dames did their best. Looking fab, dahlings, were Catharine Hamilton in red, Nancy Knowles in gold, Clementina Durkes, Stephanie Fisher, Dr. Mary Ann Malloy, Barbara Pearlman, Christina Gidwitz, Beverly Persky, Mrs. A. Campbell de Frise, Elizabeth Cole, Mrs. James Sterling, Jennifer Lappin, Molly Symmons, Sara Ashland, Alyson Andrews, Emanuele Oliveira, Pauline Boyle, Shawn Stephens, Yolanda Farias, Mary Oppenheim and a cast of hundreds.

POOR BABY OF THE WEEK: Crying the cash blues is out of the pen former Cicero Town president Betty Loren-Maltese, insisting she’s broke. We suggest she ask longtime best buddy Fast Eddie Vrydoliak for a loan. He made millions from his contracts with Cicero during her tenure. But would he be Fast Eddie with a handout?

DIAMONDS ARE A GIRL’S BEST FRIEND and the Diamond Gala at the Field Museum on Oct. 17 to herald the dazzling Grainger Hall of Gems exhibit will be exceptional with chairwoman Mrs. Norm Bobins at the helm. Don’t miss this mega-carat event.

BEST ANSWER OF THE WEEK: A friend told me a charity phoned and asked for her old clothes to help starving women. “If they can wear my clothes they aren’t starving,” she laughed. And she made a cash donation.

NATE BERKUS, interior designer to the stars, including Oprah Winfrey, is said to be splitting with partner shoe designer Brian Atwood and has been checking out condos in the Urban Glass House, a classy New York City address.

ONE POPULAR FASHIONISTA is Laurie Davis, owner of the vintage treasure shop, Lulu at the Belle Kay, 3862 N. Lincoln. To celebrate her 60th birthday, pals Sherrill Bodine, Susan Grimm, Natasha Isaacs, Roni Siegel and Dusty Stemer will host a blast at Maxim’s today. Sherrill, Laurie and Dusty have just returned from ogling the fashion shows in Milan.

BELATED HAPPY BIRTHDAY TO VIRGOS, says astrologer Laurie Brady, who reports they are perfectionists (we know that), brainy and overly critical. Brady sees financial loss for them after Oct. 29, but they remain passionate, affectionate and sociable. Virgos include Evangeline Gouletas, Cynthia Olson, Elizabeth Applebaum, Jonathon Steele, Mary Ann Josh, Kathy Leventhal, Elizabeth Bertucci, Carol Prins, Cheryl Lewin, Lady Jeanne Wedgwood, Myra Reilly, Maureen Schulman, Siobhan Engle, Bernice Pink, Bobbi Dougherty, Harriet Guilis, Billy Arnott, Steve Wozniak, Stanley Paul, Jerry Berliant, Bill Kurtis, Jimmy Rittenberg, Chuck Jordan, Giovani Leuxaco, Ken Price, Judge Morton Zwick and Eugene Martello.

BRENDA SEXTON AND CHAZ EBERT are hosting a cocktail reception Oct. 12 for Virginia Madsen’s film, I Know A Woman Like That, previewing Oct. 13 at Columbia College. Virginia produced it and her mother, Elaine, directed the interviews with extraordinary women ages 64 to 94.

EVERY WOMAN WHO CARES ABOUT HER SISTERS should support Personal Pac, which supports pro-choice candidates. Nobody wants an abortion, but the right, the safe opportunity must be there for those in need. Oct. 19, at a Hilton luncheon, comedienne Sandra Bernhard will amuse, and the valiant, brave murdered medic Dr. George Tiller will be honored. PP founder Prudence Beidler will receive an award. Call 312-422-0122 for more information.

PANCREATIC CANCER took Patrick Swayze and it threatens us all. Swayze, in town last year, refused to join the Lustgarten Foundation for Pancreatic Cancer Research Walk, telling organizers he was “a miracle patient.” This year the one-to-three mile hike starts at Montrose Beach at 8 a.m. for $50 and we’re sure Patrick would have wanted to be there. How we wish he could be. Call Gail Zugerman at 312-787-1810 for details.

BANK OF AMERICA DIRECTORS may be in the hot seat when New York Attorney General Andrew Cuomo’s interrogators demand to know whether they knew about escalating mortgage losses. Chairman of the board, our genius scientist Walter Massey, has been subpoenaed.

“WOMEN LOOK IN A MIRROR and think they look worse. Guys think they look better. No matter how much of a three-toed, knuckle-dragger a guy is, he figures he’s four or five sit-ups away from being in a hot tub with Elle McPherson.” — Richard Jeni

contact: annbgerber@gmail.com

Mail news and photos to 5036 Fairview Lane, Skokie, IL 60077 or call 847-677-2232.


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