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Lautenberg seeks IRS probe of insurer chief's pay

U.S. Sen. Frank Lautenberg (D., N.J.) has asked the IRS to investigate whether the $8.71 million paid last year to William Marino, chief executive officer of Horizon Blue Cross Blue Shield of New Jersey, the state's largest health insurer, qualifies as "reasonable" under the tax law regarding nonprofits. Marino's salary jumped 59 percent, though the insurer has said that was because a change in law prompted him to collect money that would have been paid in later years. In a letter to IRS Commissioner Douglas Shulman, Lautenberg called the pay "exorbitant" and said he was "particularly troubled" that the company had been boosting executives' pay while raising premiums. - Chelsea Conaboy

U.S. Sen. Frank Lautenberg (D., N.J.) has asked the IRS to investigate whether the $8.71 million paid last year to William Marino, chief executive officer of Horizon Blue Cross Blue Shield of New Jersey, the state's largest health insurer, qualifies as "reasonable" under the tax law regarding nonprofits. Marino's salary jumped 59 percent, though the insurer has said that was because a change in law prompted him to collect money that would have been paid in later years. In a letter to IRS Commissioner Douglas Shulman, Lautenberg called the pay "exorbitant" and said he was "particularly troubled" that the company had been boosting executives' pay while raising premiums.

- Chelsea Conaboy