In what is probably a surprise to no one, former House Majority Leader Eric Cantor has gone to Wall Street in the aftermath of his primary election defeat. Cantor will be working for Moelis & Co as vice chairman and managing director despite having little on his resume to justify the position.
For his largely ceremonial role he will be given $1.4 million in cash and stocks up front and receive a salary of $400,000 a year. Cantor will then receive $1.6 million in incentive cash and stocks in 2015 according to an SEC filing reviewed by The Hill.
Pretty nice pay day for a small town country representative. And like Citigroup had with Jack Lew, there is a nice provision for Cantor should he like to swing back through the revolving door.
The contract allows Cantor to leave the company after two years without a pay penalty to “take a full-time elected or appointed position in federal government, state government, or a national party.”
And of course those millions Cantor will receive in those two years will never influence how he treats Moelis & Co should he return to public office. Never.
Cantor has no real investment banking experience but he does understand influence peddling and insider dealings – so maybe not such a bad fit after all. And what does Wall Street get? Greater access to the inside of the Republican Party and another generation of party leaders. And as Wall Street learned during 2008, you can’t put a price on having powerful friends who can issue you a blank check backed by taxpayers. Giving Cantor this money is an investment that has already proven priceless in the past, at least until the Federal Reserve admits how much money it shoveled to the banksters.
In any case, what’s a few million dollars compared to the potential billions in bailouts that could be coming? Wall Street knows its business.
Photo by US House of Representatives under public domain.