The federal government creates the rules that govern bankruptcy, which is when people or businesses go to court to declare they are officially out of money. Barack Obama pledged during the campaign that he would get new rules created so that corporations in bankruptcy would not be able to give their executives bonuses.
Such a restriction would have to be approved by Congress, but Congress has taken no action on the matter. In fact, legislation has not even been introduced.
Samuel Gerdano, executive director of the American Bankruptcy Institute, confirmed the results of our search. The institute is an association for professionals including attorneys, judges, bankers and accountants who work on bankruptcy issues. Gerdano said similar legislation had been introduced in the previous Congress, in 2007, but no such legislation is pending now.
The Obama administration has taken steps to limit bonuses in other ways. The government has moved to limit compensation for banks and auto companies that were bailed out by the government in 2008 and 2009. But that's a separate issue from bankruptcy rules.
Because there's no movement to create the new rules, we rate this promise Stalled.