Ratickle
Founding Member / Super Moderator
Can anyone here explain the bankruptcy papers presented by Chrysler? I looked at the entire package, and it looks to be as illegal as heck to me. They are giving the retiree trust fund 55% of the company as an unsecured creditor and the secured creditors about $0.20 cents on the dollar? And the secured creditors include banks like Chase, who were solicited to buy the loans for Chrysler by the government?
Isn't the entire package illegal under US bankruptcy law? I cannot for the life of me figure out how the Union is privy to any of the assets, let alone 55%.
I mean, as a secured creditor under law you have first rights to the assets before any unsecured creditor, right? And Chryslers assets are about $35 billion on about $55 billion in total debt, (I believe, hard to figure the entire thing out).
Isn't the entire package illegal under US bankruptcy law? I cannot for the life of me figure out how the Union is privy to any of the assets, let alone 55%.
I mean, as a secured creditor under law you have first rights to the assets before any unsecured creditor, right? And Chryslers assets are about $35 billion on about $55 billion in total debt, (I believe, hard to figure the entire thing out).