I don't think it is fair to cap the exec salaries after the fact. If the money was originally promised no strings attached, then I think the govt should honor that, and not add conditions to the deal after it is done.
In priniciple though I think it is totally reasonable to cap salaries if a business is taking tax payer money. But the business needs to know that up front.
A newspaper story today stated that BHO's rule would
not affect companies that had already received bailout money, but would apply to companies that accept it in the future. (The article also said there were ways to weasel around the rule.
)
Personally, I think a thorough housecleaning - CEO, CFO, & Board - would be a good start if a company receives a billion or more in bailout funds. And no company receiving bailout funds ought to be able to fill those positions with execs who'd lost their jobs because they mismanaged another company that needed bailout money.
If a company does NOT get bailout money . . . the .gov ought to keep it's nose out of things like compensation.