Ginsberg: Not On Board With The Obama Gameplan.....

As you all know Simple Man Politics was supposed to be on a hiatus of sorts for two or three weeks in order to get some other business taken care of, but I just couldn’t resist writing about today’s topic. Today’s topic is about Ginsberg, the Supreme Court, and Obamas bankruptcy plan for Chrysler including its purchase by Fiat.

It appears that liberal SCOTUS (Supreme Court of the United States) justice Ruth Bader Ginsberg is not on board with the Obama administrations game plan to reward the UAW (United Auto Workers Union) with 60% of Chrysler, while giving the American tax payer about 30% of Chrysler, and the secure lenders less than 20% of Chrysler.

The result of this bankruptcy deal would have given virtually all of the UAW its losses back. The American tax payers would have gotten about 60 to 70% of their money back, and the lenders would have gotten about 15% of their investment capitol back. This plan of Obamas is surely a payoff to the union and a grand screwing for the investors and the American tax payers who should be paid off above and before the union.

Apparently the three judge panel for the federal district that Ginsberg represents kicked it up to her for review refusing to make a decision on the bankruptcy deal forcing Ginsberg to take the lead in deciding the outcome of this sham of a bankruptcy At that point Ginsberg got the whole Supreme Court involved in the issue, which further threw a monkey wrench into the Obama bankruptcy deal.

It looks like the constitutionality of this bankruptcy mess is now going to be decided by the SCOTUS and hopefully the constitution will be upheld. This is obviously not very good for the Obama administration or the UAW who stand to financially gain an enormous amount of money for their support for Barack Obama in the 08 Presidential election. According to lawyers who practice constitutional law this bankruptcy is in fact unconstitutional and here is why.

In a normal bankruptcy case Chrysler would have been allowed to continue its operations while going through its restructuring process. Auto dealers would have been allowed to remain in business serving their communities in both sales and services, the secured lenders and bondholders would have been first in line to re-coupe their losses, and Last but not least all labor contracts with the UAW would have been null and void.

Unfortunately Obama in his infinite wisdom thought he should circumvent the constitution and do things the way he wanted to. As a result of his actions to force the Chrysler bankruptcy and Chrysler/Fiat deal through it found its way to a federal appeals court and then to the SCOTUS. Apparently 150+ years of bankruptcy law precedent and the US constitution still hold water even in light of the Obama administrations obvious contempt for them.

The decision that the SCOTUS makes on the Chrysler plan may ultimately affect the Bankruptcy deal that is currently in place for General Motors as well. The resulting decision may do great damage to the UAW, which personally doesn’t offend me one little bit. The decision could also result in both the tax payers and the lenders getting the bulk of their investments back, which I consider to be fair. The SCOTUS may also put an end to the Obama administrations plans on wealth distribution on a large scale, which I ma also in favor of.

Well that’s it for today folks and I am glad I was able to talk to all of you once again. I will be back again soon I hope so have a terrific day CIAO4NOW!!!!!