White House Threatens Chrysler Non-Tarp Investment Companies (UPDATED)

It’s the Chicago Way or the highway, now in Washington.

Newsbusters notices that the MSM has thus far,  studiously avoided this chilling exchange that took place on Frank Beckman’s Show, this morning:

What follows is a rush transcription, omitting the intro and wrap-up niceties, of an interview today between WJR’s Frank Beckmann and Tom Lauria, attorney for most of (at the moment) Chrysler’s non-TARP creditors (audio is here; NYT link in transcript added by me):

Beckmann: So what’s the matter with your vulture clients who are so greedy and selfish. Why won’t they go along with this?

Lauria: Well, they bought a contract that says that they get paid before anyone else does by Chrysler. And they have been told by the government who is in complete control of Chrysler, oddly enough, that despite their contractual right, they do not get paid before everyone else.

So they are standing on their rights, standing on the law, trying to defend in effect what is the Constitution of the United States, to make sure that they get what they’re entitled to for their investors.

Beckmann: Tom, let me make the argument against you in another way. We’ve heard the President say this, “I wouldn’t want to stand on their side.” Ron Gettelfinger says “Everyone else has made concessions. These people won’t; they’re greedy.” Why not take a concession that is being asked of everybody else and is being accepted by everybody else, including other hedge funds that had bought some of these bonds in Chrysler?

Lauria: Well that’s a great question, because let me tell you it’s no fund standing on this side of the fence opposing the President of the United States. In fact, let me just say, people have asked me who I represent, and that’s a moving target.

I can tell you for sure that I represent one less investor today than I represented yesterday. One of my clients was directly threatened by the White House, and in essence compelled to withdraw its opposition to the deal under threat that the full force of the White House press corps would destroy its reputation if it continued to fight. That’s how hard it is to stand on this side of the fence.

Beckmann: Was that Perella Weinberg?

Lauria: That was Perella Weinberg.

Beckmann: All right.

You can read the rest of the interview, and/or listen to the audio at Newsbusters.

Again, anybody who was paying attention during the election season, could have predicted that such thug-like tactics would be employed by the white House.

We could have predicted that it would be ignored by the MSM, too.

More (via Lucianne) on Chrysler’s rogue creditors, here.

First comment at Lucianne’s:

Let these investment companies know they have the support of the American people. The big three are Oppenheimer Funds 1.800.CALL.OPP (1.800.225.5677), Perrella Weinberg Partners(212.287.3200) and Stairway Capital (Phone: 516.629.3478. Fax: 516.629.3481.)

Sounds like it’s too late for Perrella Weinberg Partners.

I wonder if Obama’s dirt digging dept. is up and running.

UPDATE:

Ed Morrissey wants to know how the White House Press Corps feels about being used as Obama’s attack dogs.

Enchanted?

UPDATE II:

Jake Tapper:

White House Denies Charge By Attorney that Administration Threatened to Destroy Investment Firm’s Reputation

You believe that?

Me neither.

UPDATE (5/5):

Charges of White House Threats to Persecute Chrysler Creditors Corroborated

Ace has all the latest.

This story may have legs:  more here, and here.


16 thoughts on “White House Threatens Chrysler Non-Tarp Investment Companies (UPDATED)

  1. We no longer have journalism in this country – we only have media mouthpieces for the elected tyrant. The educators do no even stress critical thinking and slant things in favor of the left. Anyone disagreeing with this administration is demonized, and as for greed, Obama should look in the mirror. Unless people in the media show courage we are following a path to even more less liberty while the elites get all the benefits. Media, union and gov’t elites that is.

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  2. Mark my words … there WILL be a revolution in this country, in the not to distant future. Some of us will not stand idly by as our Constitutional rights are tossed under the bus so TheOne can “remake America.” We don’t want or need America to be “remade” – that’s not what dopey was elected to do.

    “Change” is not “remake.”

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  3. Pingback: Did the WH use the Press Corps to strong-arm Chrysler investors? | The American Pundit

  4. Of course, some White House spokesperson is now denying that BHO pressured Chrysler.

    Just as the White House denied BHO’s subservient bow to the Saudi king.

    Pffft!

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  5. DHS also didn’t tell border control they couldn’t wear face masks.

    It must be nice to have a totally uncurious, snd in the tank media.

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  6. How dare someone expect a contract to be upheld!
    And when a contract is broken, you at least have the right to have your case heard before a judge for a negotiated settlement. I guess Obama is head of the judiciary as well now.
    Contracts broken unilaterally = Anarchy.
    Anarchy = excuse to sieze more power.

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  7. It’s a little hard to believe the denial from the Burton – was he not around for the President’s press conference?


    The relevant point starts about 6:10 in. The absolute scorn -plain on his face and in tone – for these legitimate top-tier stakeholders is astonishing. Clearly he’s frustrated that they will not back-off so that the President can pay-back the UAW for their campaign contributions by placing them at the front of the line!

    “While many stakeholders made sacrifices and worked constructively, I have to tell you some did not,” the president said. “In particular, a group of investment firms and hedge funds decided to hold out for the prospect of an unjustified taxpayer-funded bailout. They were hoping that everybody else would make sacrifices, and they would have to make none. — I don’t stand with them.”

    Lauria said the president’s assertion that his clients weren’t willing to make any sacrifice is false. The clients were willing to take 50 cents on the dollar from Chrysler for their debt.

    It would be nice if the American people could determine where they rank in your pension fund, 401k, or mutual and bond fund investments so they can determine – does my President stand with me? Or is UAW membership required for that luxury?

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  8. She’s speaking of this contract:

    The Obama administration is reportedly threatening private, taxpaying Americans that if they don’t give in to his government concessions by taking less money than they loaned the businesses Obama’s is taking over, he will sic the White House Press Corps on them.

    At the very least, he has said he does not stand with the Chrysler creditors.

    Obama also strived to terminate the contracts between individuals and AIG.

    Contracts do not appear to mean much to him.

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  9. Most White people in this country and in the States put their rights to deprive Blacks above the Constitution, otherwise Black children would have not needed Brown Vs. Board of Education, and generation education deprivation would not have been allowed it was allowed by all you corrupt Americans who have selective Constitutionalism.

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  10. I don’t know who specifically these “holdouts” were but if they were the perferred top tier shareholders they had no legal reason to “sacrafice”; on the other hand, as a principle, its always the rest of the shareholders that take the bath, as well as the workers. It does seem as if he didn’t like that, doesn’t it?

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  11. OHH Very Interesting post! Thank you for such interesting resource! PS: Sorry for my bad english, I’v just started to learn this language 😉 See you! ^_^

    Like

  12. Pingback: Pelosi Censored House Republicans Who Wanted To Talk About The Dems’ “Lack Of Transparency” « Nice Deb

  13. Pingback: More Thug Politics As Obama Administration Investigates Humana’s Free Speech « Nice Deb

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