BOSTON, April 20 (UPI) -- Rep. Barney Frank, D-Mass., said shareholders at Citigroup would likely spur shareholders elsewhere to reject excessive executive pay packages.
"I do think it's going to encourage others to do this," Frank said of the 55 percent shareholder majority at Citigroup that voted to say no to Chief Executive Officer Vikram Pandit's pay package.
The non-binding vote was made possible by a provision in the Frank-Dodd financial overhaul bill that provided for shareholder votes on executive pay.
Franks said he felt "very proud" of the shareholder revolt, the Boston Herald reported Friday.
Pandit was paid $15 million in 2011 and granted $34 million in bonus pay, the Herald said.
Although the vote is non-binding, Citigroup Chairman Richard Parsons called it "a serious matter."
He said the board would explore other ways to calculate executive pay.
"We're going to have some more conversation with our shareholders ... and then fix it," Parsons told reporters.