Friday, April 23, 2010

GM Debt is Paid – Not!

I saw on the news were GM paid off their $8.1 Billion debt to the US government; or did they? I thought the taxpayers here in the good old USA were on the hook for much more, say around $52 Billion. Then I heard the money used to pay back the $8.1 Billion debt didn’t come from GM profits; but from TARP funds. Excuse me; TARP funds?

“General Motors Co. has repaid the $8.1 billion in loans it got from the U.S. and Canadian governments, a move its CEO says is a sign automaker is on the road to recovery.”

There was a huge press conference at the Fairfax GM plant; not sure if there were any teleprompters to assist in this smoke and mirror show. What about the $45.3 Billion that GM still owes? Now I know, the American public still owns 61 percent of GM. But where did the $8.1 Billion come from, the huge car payment if you will?

I found that answer as well; it’s all one huge lie , not one huge car payment. The money which GM supposedly paid back to the US taxpayers came from TARP money which was in a ‘different’ account. That means there’s good chance a teleprompter WAS used at the announcement over in Fairfax; likely had it shipped overnight from the Oval Office.

“Sen. Chuck Grassley’s charge was backed up by the inspector general for the bailout -- also known as the Trouble Asset Relief Program, or TARP. Watchdog Neil Barofsky told Fox News, as well as the Senate Finance Committee, that General Motors used bailout money to pay back the federal government.

‘“The bottom line seems to be that the TARP loans were ‘repaid’ with other TARP funds in a Treasury escrow account. The TARP loans were not repaid from money GM is earning selling cars, as GM and the administration have claimed in their speeches, press releases and television commercials,” he wrote.”

I bought my first car from my dad, a special deal that I thought only a dad could put together. I couldn’t tell you how much we agreed upon at the beginning; but dad kept an account book showing each payment made. Here’s the sweetheart deal he gave me; for every $8 dollars paid I got credit for $10. At least I took the $8 out of my own pocket and handed it to dad.

GM thinks it can take money out of the taxpayer’s left back pocket and put it into the taxpayer’s right back pocket to satisfy their debt; now that really is a sweetheart deal. You and I, my friends, are having the wool pulled over our eyes, or is that a TARP?

This article has been cross posted to The Moral Liberal , a publication whose banner reads, “Defending The Judeo-Christian Ethic, Limited Government, & The American Constitution”.

1 comment:

T. F. Stern said...

You won't believe what came in my email this morning....

" Dear Thomas,

We are proud to announce we have repaid our government loan – in full, with interest, five years ahead of the original schedule. We realize we still have more to do. Our goal is to exceed every expectation you've set for us. We're designing, building and selling the best cars and trucks in the world. Like the award-winning Chevy Malibu, the all-new Buick LaCrosse, the versatile Cadillac CTS Sport Wagon and the innovative GMC Terrain, just to name a few. We invite you to learn more about the new GM and join our community, by visiting

Susan E. Docherty
Vice President, U.S. Marketing "

Some kind of gall to send out a mass email like that in light of the information available.