This is a sad day in America. The “Supreme” Court had another Dred Scott moment in its sad history. The gutless, unprincipled political hacks on the Court refused to stop the “deal” that sold Chrysler’s assets to Fiat. And then did not even have the courage to give their reasoning and to sign their names to it so that their names could go down in infamy. The rule of law was surpassed by the rule of “whatever the Obama Administration wants, the Obama Administration gets.”
For those too ignorant to realize what went on, the Obama Administration made a “deal” to sell Chrysler’s assets to Fiat. Only problem was that this “deal” stole money from secured creditors and gave it to the UAW. There is no other way to characterize what occurred. The secured creditors by law were entitled to get their fair share. The Obama Adminstration said “screw that” and took their fair share by fiat and delivered it to Obama supporters in the UAW. And the Supreme Court bent over and said, “stick it in, no need for even any lubrication!”
“…The United Auto Workers union will get a 55 percent stake that will be used to fund its retiree health care obligations, while the U.S. and Canadian governments will receive a combined 10 percent stake.”
“Meanwhile, the automaker’s secured debtholders would get $2 billion in cash, or about 29 cents on the dollar, for their combined $6.9 billion in debt. Some of the debtholders balked at the deal, saying as secured lenders they deserved more. The Indiana funds involved in the Supreme Court appeal hold about $42.5 million of Chrysler’s $6.9 billion in secured debt…”
These are people, some of whom invested their life savings, their pensions, the money for their children’s future, in Chrysler, at a time when the investment was risky but when Chrysler needed the money to stay afloat. In exchange for a somewhat risky investment the investors were given status as “secured creditors.” That basically means that they are given preferred status if the company were to go bankrupt. In one fell swoop that legal status was stolen–STO-FUCKING-LEN–by the Obama Administration. With the Supreme Court acting as willing accomplice.
It might be hard for some of you ignorant flaming liberals to
comprehend what has occurred. You might automatically side with the “little guys”, the autoworkers. But this was not “little guys” vs. “rich guys”, this was little guys vs. other little guys. The people who lost money were pension funds comprised of the life savings of little guys. It was full of small investors. And Der Fuehrer Obama stole their money and gave it to the autoworkers as a great big Thank You for supporting his Presidential campaign. I am going to puke.
UPDATE: Excellant article in Detroit News written before the horrendous Supreme Court decision that agrees with me.
UPDATE II: Excellent article at American Spectator (h/t Novatownhall) that extols the virtue of boycotting GM and Chrysler. Here, I’ll summarize for ya: Don’t let the dirty bastards get away with this.