red states rule
06-09-2009, 07:18 AM
Contract law wins - Obama loses
Secured debt holders, by law are to get 100 cents on the dollar.
For them to get anything less will be the equivalent to emminent domain, and the government coming in and deciding who gets what regardless of who owns what.
High court puts Chrysler sale on hold
Supreme Court issues a stay of the sale of Chrysler to the Italian automaker, delaying Chrysler's exit from bankruptcy.
NEW YORK (CNNMoney.com) -- The Supreme Court threw a wrench into the plans to have a quick bankruptcy process at Chrysler LLC, delaying the company's combination with Italian automaker Fiat.
The bankruptcy judge overseeing the Chrysler case had given approval for the company's most valuable assets, such as plants, dealerships and contracts, to become part of a new company in which Fiat would hold a significant stake.
Supreme Court Justice Ruth Bader Ginsburg, in an order issued late Monday, granted a request for a delay of that approval sought by Indiana state pension funds, which had argued that they and other lenders deserved better treatment by the bankruptcy court.
No reason for the delay was given in the order, and there were no details about how quickly the issue could be resolved by the nation's highest court.
The Treasury Department said in a statement that "we understand this to be an administrative extension designed to allow sufficient time for the Court to make a determination on the merits of the request for a stay."
http://money.cnn.com/2009/06/08/news/companies/chrysler_stay/?postversion=2009060905
Secured debt holders, by law are to get 100 cents on the dollar.
For them to get anything less will be the equivalent to emminent domain, and the government coming in and deciding who gets what regardless of who owns what.
High court puts Chrysler sale on hold
Supreme Court issues a stay of the sale of Chrysler to the Italian automaker, delaying Chrysler's exit from bankruptcy.
NEW YORK (CNNMoney.com) -- The Supreme Court threw a wrench into the plans to have a quick bankruptcy process at Chrysler LLC, delaying the company's combination with Italian automaker Fiat.
The bankruptcy judge overseeing the Chrysler case had given approval for the company's most valuable assets, such as plants, dealerships and contracts, to become part of a new company in which Fiat would hold a significant stake.
Supreme Court Justice Ruth Bader Ginsburg, in an order issued late Monday, granted a request for a delay of that approval sought by Indiana state pension funds, which had argued that they and other lenders deserved better treatment by the bankruptcy court.
No reason for the delay was given in the order, and there were no details about how quickly the issue could be resolved by the nation's highest court.
The Treasury Department said in a statement that "we understand this to be an administrative extension designed to allow sufficient time for the Court to make a determination on the merits of the request for a stay."
http://money.cnn.com/2009/06/08/news/companies/chrysler_stay/?postversion=2009060905