Judge To Reverse GM Bailout?

What? Rule of law? We’ll have none of that in Obama’s America.

A New York federal judge may rule imminently on a case that could reverse the General Motors (GM) bailout and send the company back into bankruptcy, according to sources close to the case[…]

The company is taking the possibility of a negative ruling from Gerber very seriously. GM attorneys filed court documents saying that the lawsuit “could create a chaotic situation for GM Canada, spawn new litigation in other forums, and potentially provide a windfall to the noteholders.”

The bankruptcy expert said if the two sides cannot come to an agreement on Thursday, Gerber could preside over one of the most historic rulings in bankruptcy court history.

“This has tremendous implications for future of American business and bankruptcy precedent,” he said. “It means more than just GM—this is the rule of law and how creditors are treated in the United States legal system.”

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2 Responses to Judge To Reverse GM Bailout?

  1. John Jeffery says:

    This would keep General Motors of Canada Limited a privatly owned Canadian Company and give the Canadian Government 10.6 billion, you see General Motors of Canada was established in 1918 by R S McLaughlin merging both his Chevrolet Motor Company of Canada Limited and his McLaughlin Car Company of Canada Limited to allow his shares in Chevrolet to be sold off to allow the incorporation of General Motors Corporation in 1918 Chevrolet held 54.5 % of General Motors holding stock from 1916.

  2. notamobster says:

    Why would it bother me that a private company got to stay private? I’d rather that 10B go to Canadians than to the UAW. I’d rather they burn it, than give it to the UAW!