In the past, I have talked about the appalling bonuses and huge pay packets handed out rewarding failure in the subprime crisis. Some examples here, here, here and here.

But according to Nell Minnow, editor in chief of The Corporate Library , the bonuses and payouts might well have contributed to the meltdown.

"All of the CEOs who failed got paid very well. Therefore, the pay plans had very perverse incentives. Yes, the CEOs did receive incentive compensation, but incentive to do what? If the incentive was to essentially offload risks - which is what happened, because the CEOs were pushing much of the risk off to shareholders - then this is what you get," she told Strategy+Business.

Compensation programs need to be clear she says. If there is any indication of bad behavior, or if the company's reputation is trashed, the money goes back to the firm.

It's hard to see that happening. But her view shows up the fault lines in the debate over executive pay. And they're not going away. That is why the Corporate Library is now predicting that the "perfect storm" of subprime woes and excessive executive compensation is going to result in a continuing wave of shareholder class actions.