Friday, December 12, 2008

Bush's end around for Detroit

Banker money for the automotive industry? Reports say Bush may go around Congress and give some of the original bailout money to Detroit.
Something is suspicious here.

ABOARD AIR FORCE ONE (Reuters) - The White House said on Friday it was considering tapping a $700 billion financial industry bailout fund to prevent a collapse of ailing U.S. automakers, a move that would mark a dramatic policy reversal.

"Given the current weakened state of the U.S. economy, we will consider other options if necessary, including use of the TARP program, to prevent a collapse of troubled automakers," White House spokeswoman Dana Perino told reporters aboard Air Force One as President George W. Bush headed to Texas.

A willingness to consider use of TARP funds marked a major turnabout for the Bush administration after a proposed bailout of U.S. automakers failed in the Senate on Thursday night, raising the specter of an industry collapse.


by Dan Hawkins | Mlive Politics & Elections News Friday December 12, 2008

(Take it from a Tennessean...Do not trust this man.)
Face of the negotiations: Senator Bob Corker of Tennessee led the Republican side, saying the deal failed on union concessions.

The Senate's rejection of $14 billion in loans clarifies the battle lines in the Big Three's struggle for survival. It's North versus South, union versus non-union, American versus foreign (oops, too '70s — make that Detroit versus "transplant"), and much, much more. Who's on the side of the angels here?

But why didn't negotiations work?
Bob Corker of Tennessee, a GOP leader, said Democrats were unwilling to adopt a 2009 deadline for union worker concessions rather than a 2011 date. Democrats said they agreed to six other conditions, including three for the UAW: taking half its trust fund in auto stock, eliminating the jobs bank and making pay for union workers competitive with foreign-owned plants. more

Going around Congress is typical Bush. He blatantly did this by invading Afghanistan and Iraq without a formal declaration of war by Congress as the constitution states.

With so much corruption entwined in the Treasury/Federal Reserve bailout package, it is hard to get a handle on why Bush has changed his mind about money for Detroit.

Whatever it is, when Bush gets involved, it's not good.

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