OUT OF MIND
Would you like to react to this message? Create an account in a few clicks or log in to continue.
Latest topics
» The Early 21st Century Dystopian Nightmare Reality
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyYesterday at 12:57 pm by PurpleSkyz

» Died Suddenly's 12/08/22
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyYesterday at 12:51 pm by PurpleSkyz

» Well they did it! New Zealand took away that baby because parents wanted unvaxxed blood for transfusion.
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyYesterday at 12:48 pm by PurpleSkyz

» 432 Hz: THE MAGIC FREQUENCY (forbidden from mainstream music)
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyYesterday at 12:39 pm by PurpleSkyz

» Scientists achieve mind-bending 'quantum time flip'
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyYesterday at 12:34 pm by PurpleSkyz

» After FTX’s Sudden Collapse, Crypto Billionaires are Now Dying Under Mysterious Circumstances Around the World
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyYesterday at 12:30 pm by PurpleSkyz

» Bill Gates will join Fauci this week to dictate U.S. government health 'priorities for the future'
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyYesterday at 12:26 pm by PurpleSkyz

»  How To Cheat and Lie with Vaccine Science: A Review of Turtles All The Way Down
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyYesterday at 11:40 am by PurpleSkyz

»  Operation Soul Disconnection
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyYesterday at 11:38 am by PurpleSkyz

» Guess a B-baller is just WAY MORE IMPORTANT than a MARINE!
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyYesterday at 11:00 am by PurpleSkyz

» Watch the Cold Moon rise tonight (Dec. 7)
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 7:45 pm by PurpleSkyz

» UFO NEWS ~ Missing 411: The UFO Connection plus MORE
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 12:39 pm by PurpleSkyz

» Fusion Technology Is Reaching a Turning Point That Could Change The Energy Game
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 12:12 pm by PurpleSkyz

» The Evil of Coerced Medicine
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 12:04 pm by PurpleSkyz

» Psychotic Disorders Reported After mRNA COVID Shots
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 12:03 pm by PurpleSkyz

» NBA Hawks Sports Commentator Suffers Sudden Medical Emergency During Broadcast
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 11:56 am by PurpleSkyz

» Florida to Hold Vaccine Makers Liable Over mRNA Claims
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 11:43 am by PurpleSkyz

» Sen. Ron Johnson to Newsmax: FBI ‘Preplanned’ Sabotage of Hunter Laptop Story
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 11:41 am by PurpleSkyz

» Good People Doing Good Things – For Mother Earth
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 11:33 am by PurpleSkyz

» Everybody Knew CV-19 Vaxx Was a Criminal Bioweapon – Karen Kingston
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 11:06 am by PurpleSkyz

» Conman Michael Avenatti Gets 14 Years in Prison for Embezzling Millions
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 12:10 am by PurpleSkyz

» What is Anarchy?
REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out EmptyWed Dec 07, 2022 12:06 am by PurpleSkyz





You are not connected. Please login or register

OUT OF MIND » THE INSANITY OF REALITY » GOVERNMENTS & THE NEW WORLD ORDER » REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out

REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out

Go down  Message [Page 1 of 1]

shakes4life2



REVEALED Romney’s Top Funders Made Billions on Auto Bail-Out

- Thanks to Mark

by Greg Palast

02/23/2012

www.nationofchange.org/revealed…

Republican Presidential candidate Mitt Romney called the federal government’s 2009 bail-out of the auto industry, “nothing more than crony capitalism, Obama style… a reward for his big donors to his campaign.” In fact, the biggest rewards – a windfall of more than two billion dollars care of U.S. taxpayers –– went to Romney’s two top contributors.

John Paulson of Paulson & Co and Paul Singer of Elliott International, known on Wall Street as “vulture” investors, have each written checks for one million dollars to Restore Our Future, the Super PAC supporting Romney’s candidacy.

The two hedge fund operators turned a breathtaking three-thousand percent profit on a relatively negligible investment by using hardball tactics against the U.S. Treasury and their own employees.

Gov. Romney last week asserted that the Obama Administration’s support for General Motors was a, “payoff for the auto workers union.” However, union workers in GM’s former auto parts division, Delphi, the unit taken over by Romney’s funders, did not fair so well. The speculators eliminated every single union job from the parts factories once manned by 25,200 UAW members.

Under the control of the speculators, Delphi, which had 45 plants in the U.S. and Canada, is now reduced to just four factories with only 1,500 hourly workers, none of them UAW members, despite the union agreeing to cut contract wages by two thirds.

It wasn’t supposed to be quite so bad. The Obama Administration and GM had arranged for a private equity investor to provide half a billion dollars in new capital for Delphi, but that would have cut the pay-out to Singer and Paulson. The speculators blocked the Obama-GM plan, taking the entire government bail-out hostage. Even the Wall Street Journal’s Dealmaker column was outraged, accusing Paul Singer of treating the auto company, “like a third world country.”

But it worked. Singer and Paulson got what they demanded. Using U.S. Treasury funds:

GM agreed to pay off $1.1 billion of Delphi’s debts,

Forgave $2.15 billion owed GM by Delphi (which had been spun off as an independent company)

Pumped $1.75 billion into Delphi operations, and

Took over four money-losing plants that the speculators didn’t want.

If those plants had been closed, GM factories would have shut down cold for lack of parts.

Then there was the big one: The U.S. government agreed to take over $6.2 billion in pension benefits due Delphi workers under U.S. labor law.

Governor Romney, while opposing the bail-out of GM, accused Obama of eliminating the pensions of 21,000 non-union employees at Delphi. In fact, it was Romney’s funders who wiped out 100% of the pensions and health care accounts of Delphi salaried retirees.

Paulson and Singer paid an average of about 67 cents a share for Delphi. In November, 2011, Paulson sold a chunk of his holdings for $22 a share. Paulson’s gain totals a billion and a half dollars ($1,499,499,000), and Singer gained nearly a billion ($899,751,000) –– thirty-two times their investment.

One-hundred percent of this gain for the Paulson and Singer hedge funds is accounted for by taxpayer bail-out support.

But, unlike the government loans and worker concessions given to GM, the U.S. Treasury and workers get nothing in return from Delphi.

From GM, the U.S. Treasury got warrants for common stock (similar to options) that have already produced billions in profit.

And Delphi? It’s doing well for Paulson and Singer. GM and Chrysler, still in business by the grace of the U.S. Treasury, remain Delphi’s main customers, buying parts now made almost entirely in China and other cheap-labor nations.

And exactly who are Paulson and Singer?

Billionaire John Paulson became the first man in history to earn over $3 billion in a single year –– not for his hedge fund, but for himself, personally. At the core of this huge payday was a 2007 scheme by which, via Goldman Sachs, he sold “insurance” on subprime mortgage loans. According to a lawsuit filed by the Securities Exchange Commission, Goldman defrauded European banks by pretending that Paulson was investing in the insurance. In fact, Paulson was, secretly, the beneficiary of the insurance, reaping billions when the mortgage market collapsed.

Goldman paid half a billion dollars in civil fines for the fraud. While the SEC states that Paulson knowingly participated in the scheme, he was not fined and denies he defrauded the banks.

Multi-billionaire Singer is known as Wall Street’s toughest “vulture” speculator. Vulture fund financial attacks on the world’s poorest nations have been effectively outlawed in much of Europe and excoriated by human rights groups, conduct Britain’s former Prime Minister Gordon Brown described as, “morally outrageous.”

Guest

Anonymous
Guest

Thanks S4L-- are we known by the company we keep and who supports us? True here, too!! :)

Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum