Friday, May 1, 2009

Obama Lied Like Bush on Chrysler

Never let the truth get in the way of a political end. President Obama tossed spin with his harsh words about Chrysler bond holders, specifically hedge funds. He cited investors wanting to make unjustifiable returns on taxpayer money.

A few note holders paid between 50-70 cents on the dollars for their Chrysler bonds. How much did they want? 36 cents, which provides no return, only a loss.

President Obama said nothing of taxpayers making whole AIG counter parties to the tune of more than $50 billion. AIG paid Goldman Sachs et al 100 cents on the dollar to "unwind counter party risk." What's with the lying? Politics:

A move is already afoot to tighten oversight of hedge funds and end certain tax benefits for private investments funds. The Chrysler bankruptcy, and Wall Street’s role in it, will make resisting those efforts more difficult.

In other words, the end justifies the means. Pure Rahm, never let a good crisis go to waste (without major change). That includes inventing crises. Obama theater, Act I continues. For those without a program look behind the curtain, where the red and blue teams compete for corporate money, while offering endless corporafornication. The stuff on stage? It's an act.