McCain: Limit Bank Execs to $400,000

John McCain has declared that executives at banks that are bailed out by the federal government should not be paid more than $400,000 a year.

“No CEO of any corporation or business that is bailed out by us, that is rescued by American tax dollars, should receive any more than the highest paid person in the federal government,” McCain told CNBC on Sunday.

The highest paid person in the federal government is the president, who makes $400,000 a year.

Such a provision would result in a substantial pay cut for bank CEOs and could “dramatically reduce” participation in the bailout program, Politico reported.

McCain also said an oversight board of “respected” people should be appointed to supervise the mortgage bailout, and suggested former Massachusetts Gov. Mitt Romney, New York City Mayor Michael Bloomberg, and investor Warren Buffett.

“As much as I admire [Treasury] Secretary [Henry] Paulson,” McCain said, “we’ve got to have more people that are respected by Americans.”