Monday, May 4, 2009

Whitehouse threatens investment fund

The Obama administration has threatened to destroy the reputation of an investment firm if it does not toe the line on the admin's Chrysler debt cram down plan.

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

One has to wonder what this will do to the long term prospects for Chrysler or GM to access the capital markets. In the future, who will want to lend to a private company that could at some point become a political football, to later have the government abrogate the investment terms at will?

1 comment:

  1. Ironically, I read somewhere yesterday (can't recall the source) that the Perella Weinberg partners were very large Obama donors. Just desserts. I guess they weren't big enough.

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