So much for hoping that the changes in the mortgage rules would only be a one time problem

← return to Water Cooler

While the judge in the NHL case has yet to approve this request, I am sure that there are lots of other cases that are now going to ask for the same exception. The Obama administration is able to take some money from the Chrysler and GM bond holders, but at what cost? One wonders how much interest rates are already going up because of this increased risk. From the <a href=”http://online.wsj.com/article/SB124485225707711561.html”>WSJ</a>:<p>

<blockquote>Within days of a bankruptcy-court judge’s approval of the government’s plan to sell Chrysler to Fiat SpA and leave creditors with big losses, a lawyer in the bankruptcy case of the National Hockey League’s Phoenix Coyotes invoked Chrysler in trying to push through the speedy sale of the team. <p>Should the judge approve that move and allow the Coyotes to be sold quickly, as Chrysler was, it could put some creditors out in the cold, leaving the NHL and other investors without the kind of input typically afforded by bankruptcy law… . <p>”The concern is that you have thousands of lenders, hedge funds, insurance companies who model their investments on rules and laws,” said Stephen Lerner, a lawyer for a committee of Chrysler dealers. “How do these folks make investment decisions when they’re faced with bankruptcy courts that appear to disregard the rules?” … .</blockquote>

← return to Water Cooler

About the Author

John Lott

John Lott

Latest Stories

Latest Blog Entries

Comments
blog comments powered by Disqus
You Might Also Like
  • Maureen McDonnell looks on as her husband, former Virginia Gov. Bob McDonnell, made a statement on Tuesday after the couple was indicted on corruption charges. (associated press)

    PRUDEN: Where have the big-time grifters gone?

  • This photo taken Jan. 9, 2014,  shows New Jersey Gov. Chris Christie gesturing as he answers a question during a news conference  at the Statehouse in Trenton.  Christie will propose extending the public school calendar and lengthening the school day in a speech he hopes will help him rebound from an apparent political payback scheme orchestrated by key aides. The early front-runner for the 2016 Republican presidential nomination will make a case Tuesday Jan. 14, 2014, that children who spend more time in school graduate better prepared academically, according to excerpts of his State of the State address obtained by The Associated Press. (AP Photo/Mel Evans)

    BRUCE: Bombastic arrogance or humble determination? Chris Christie’s choice

  • ** FILE ** Secretary of State Hillary Rodham testifies on Capitol Hill in Washington, Wednesday, Jan. 23, 2013, before the Senate Foreign Relations Committee hearing on the deadly September attack on the U.S. diplomatic mission in Benghazi, Libya, that killed Ambassador J. Chris Stevens and three other Americans. (AP Photo/Pablo Martinez Monsivais, File)

    PRUDEN: The question to haunt the West

  • Illustration by Greg Groesch/The Washington Times

    LAMBRO: Skirting the lane-closure issue

  • Illustration by Linas Garsys/The Washington Times

    LYONS: Benghazi demands a select committee in Congress

  • Happening Now