One of the first things Obama had to face when he came to office was dealing with the Auto industry crisis. Bush didn't have enough time left on his term to do anything but punt. He authorized a loan allowing GM time to put off going into bankrutcy until the new prez took office. Without the loan, GM and/or its assets would be sold/auctioned off to the highest bidder and then approved by the bankruptcy court. That is standard. That is the law. The proceeds would be distributed roughly as follows: 1. Employees wages 2. Secured bond holders 3. Unsecured bond holders 4. Vendors and supplies 5. and finally, stock holders, if all of the above were paid in full. For reasons unknown, money that would normally be distibuted to the secured bond holders was given inexplicably to the union, who had no legitmate claim at all. Zero. Zip. To make it worse, Govt Motors refused to honor the warranites on cars sold prior to the bankruptcy. GM Electric Car Battery Explodes, Again Raising Chevy Volt Questions http://pjmedia.com/tatler/2012/04/12/gm-electric-car-battery-explodes-again-raising-chevy-volt-questions/ “If you will not fight for right when you can easily win without blood shed; if you will not fight when your victory is sure and not too costly; you may come to the moment when you will have to fight with all the odds against you and only a precarious chance of survival. There may even be a worse case. You may have to fight when there is no hope of victory, because it is better to perish than to live as slaves.” Winston S. Churchill -- To join RichsRants, send email to: [email protected] For more options, visit this group at http://groups.google.com/group/richsrants?hl=en
