Daley defends payments for grades

The nation's third-largest school system has handed out more than $265,000 in checks for good grades.

Chicago Public Schools distributed payouts Thursday to 1,650 freshmen in 20 high schools as part of the privately funded "Green for Grades" program unveiled last month. Freshmen and sophomores receive $50 for A's, $35 for B's and $20 for C's every five weeks.

Students get half the money immediately and collect the rest only if they graduate. The program aims to encourage kids to complete high school.

Critics argue that the payments amount to bribery for performance in core subjects like math, English and science.

Mayor Richard Daley defended the program Friday. He said poor children need the money and wealthy parents reward thier children with much more.