Posted by Jonathan Adler:
The GM Bailout's Environmental Consequences:
http://volokh.com/archives/archive_2009_08_09-2009_08_15.shtml#1250000219
[1]AutoBlog reports that Motors Liquidation Co., the entity that
assumed GM's liabilities and unwanted assets in the automaker's
bankruptcy proceedings, assumed GM's polluted sites, but does not have
the money to pay for cleanup.
Before bankruptcy, GM estimated it had $1.9 billion in
environmental issues and litigation liabilites. Motors Liquidation
Co., though, has only about $1.2 billion to manage the entire
wind-down of its affairs -- and as one might expect, attorneys
handling the matter are expected to get a huge chunk of that. The
figure to clean up sites in places like Buick City, Michigan and
Massena, New York has been pegged at $530 million. However, the way
it's looking, there won't be anywhere near that much money to get
the job done.
(Hat tip: [2]Instapundit)
References
1.
http://www.autoblog.com/2009/08/07/report-gm-gets-out-from-under-its-polluted-sites-scot-free/
2. http://pajamasmedia.com/instapundit/83125/
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