Federal Government Out of GM; Taxpayers Out Over $10 Billion

Finally some good news. General Motors has been officially denationalized, and the whole government takeover debacle only cost taxpayers a small (by Obama spending standards) fortune:

The U.S. government sold its last shares of automaker General Motors Co (GM.N) on Monday, marking an end to a historic bailout of one of America’s most storied companies.

The sale leaves taxpayers short about $10 billion of the funds that the Treasury sank into the automaker in 2009.

The problems that put GM in such a precarious position remain uncorrected, in contrast to the preferable situation we would have if bankruptcy proceedings had taken their natural course.

In addition to Government Motors,

The government also took a loss of just over $1 billion on its investments in Detroit automaker Chrysler. Taxpayers remain intertwined with GM’s former lending arm, Ally Financial Inc.

Putting Chrysler back in private hands won’t be as easy. Obama handed the company over to his union cronies, illegally shafting secured creditors in the process.

So much for bogus attempts by Obama and his devotees to convince taxpayers that the government had recovered our coerced “investment” in the auto industry.

At least now that GM is an ostensibly private company again, it can make cars targeted to consumer demand rather than leftist ideology — to some extent, for now.

obama-government-motors

On tips from Lyle and Stormfax. Hat tip: Zero Hedge. Cross-posted at Moonbattery.

Leave a Comment

Share this!

Enjoy reading? Share it with your friends!

Send this to a friend