Keyword: gmac

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  • Exclusive: NY Judge in Largest Bankruptcy Case in History Receives IRS & SEC Whistleblower Filing

    04/26/2014 3:44:12 AM PDT · by Opinionatedtoday · 41 replies
    Creditor and Whistleblower evidence alleges securities fraud, income tax fraud and income tax evasion. Further investigation is necessary to protect millions of homeowners.New York City, New York – U. S. Bankruptcy Court, Southern District of New York’s Judge Martin Glenn, presiding over the simultaneous Chapter 11 bankruptcy filings of 51 residential mortgage companies, received a whistleblower filing package today from one of the creditors in this case, a private American citizen, Greg Morse. The Internal Revenue Service and Securities Exchange Commission received the same package today. Among its contents is Morse’s whistleblower submission of IRS Form 211—Application for Award for...
  • I Can't Believe the U.S. Government Wants to Unleash This on the Public

    04/09/2014 7:11:08 AM PDT · by Vigilanteman · 3 replies
    Money Morning ^ | 8 April 2014 | Shah Gilani
    Do you know Ally Financial Inc.? You've no doubt seen their commercials. They used to be all over the tube hawking their high-yielding certificates of deposit. Now they're all over the tube with their "no hidden fees" campaign. . . . But Ally isn't funny. It recently announced that it's launching an initial public offering (IPO) of its stock at a price per share of $25 to $28. The shares will be offered by the U.S. Treasury as part of its planned exit of its investment in Ally during the subprime crisis in 2008. I've heard some analysts say this...
  • GM Now Using Taxpayer Money to Create Jobs in Mexico

    07/16/2013 3:58:06 AM PDT · by Brandonmark · 6 replies
    USActionNews ^ | 7-16-13 | Dave Gibson
    Amount of taxpayer funding given to GM and GMAC comes to a staggering $50.4 billion.Two weeks ago, General Motors Co. (GM) announced that they were investing $691 million in Mexico, and while they acknowledged the expansion would bring many new jobs south of the border, they would not disclose the actual figure. The Detroit News reported: “The Detroit-based automaker said it will spend $349 million for the new transmission plant in Silao; $131 million to expand its San Luis Potosi Complex transmission plant and to build lighter and smoother transmissions with better fuel economy, and $211 million to expand its...
  • Bailed-Out Ally Financial Only Bank to Fail Stress Test

    03/08/2013 1:36:25 PM PST · by jazusamo · 4 replies
    NLPC ^ | March 8, 2013 | Mark Modica
    The Federal Reserve's latest round of stress tests for the banking industry showed only one bank remaining on a shaky financial foundation . That bank was government-owned Ally Financial (the bailed-out company formerly known as GMAC), which also happens to be General Motors' prime source for financing. GM divested itself of GMAC so that the struggling lender could be classified as a bank holding company and receive billions of taxpayer dollars. In a move to distance itself from GM, the company was renamed Ally Financial. The government maintains majority ownership of Ally Financial, which in turn has helped GM by...
  • Bailed-Out Ally Financial Unit Comes Full Circle Back to GM

    11/23/2012 11:50:51 AM PST · by jazusamo · 9 replies
    National Legal & Policy Center ^ | November 23, 2012 | Mark Modica
    The final pieces are coming together in the General Motors' restructuring puzzle as the company has, not surprisingly, won its bid to repurchase government-owned Ally Financial's European and Latin American lending operations. GM was forced to spin off all but 10% of Ally Financial back when it was known as GMAC. Back in late 2008, the spigots of taxpayer money were open and GM had its cup out. In order for GM's lending arm (GMAC) to receive TARP funds, GM had to divest all but less than 10% of the company so that GMAC could be granted status as a...
  • Berkshire Hathaway offers to buy ResCap (fmr GMAC) unit

    06/12/2012 10:09:50 AM PDT · by TopDeadCenter · 1 replies
    Yahoo ^ | 12-June-2012 | JOSH FUNK
    Ally, which is 74 percent owned by the U.S. government, makes loans to GM and Chrysler customers and finances dealer inventories. The government first bailed out the company, then known as GMAC Inc., in late 2008 as part of the Bush administration's aid to the auto industry. The Obama administration provided additional funding in May and December 2009. ResCap had been a drain on Ally's finances for years, struggling to make payments on its heavy debt ever since the bottom fell out of the U.S. housing market in 2007. In regulatory filings before the bankruptcy, Ally said that deterioration in...
  • Ally Financial - Another Auto Bailout Bankruptcy

    05/14/2012 12:38:51 PM PDT · by jazusamo · 2 replies
    National Legal & Policy Center ^ | May 14, 2012 | Mark Modica
    The Obama Administration has become quite the expert on bankruptcy filings. The Detroit Free Press reports that the third auto bailout partaker, Ally Financial, has filed bankruptcy for its mortgage subsidiary, ResCap. The government still owns 74% of Ally, and now has an 0 for 3 record on restructuring bailed out auto-related companies outside of bankruptcy. Three years ago the Obama Administration, particularly the Auto Task Force, had a mission to restructure General Motors, Chrysler and GM's lending arm, GMAC. The stated goal was to restructure the auto industry players outside of bankruptcy. This stated goal turned out to be...
  • Ally's ResCap Unit Files Chapter 11 (Still Owes $7.2Bil In TARP!)

    05/14/2012 6:59:31 AM PDT · by tcrlaf · 7 replies
    WSJ ^ | 4-14-12 | Andrew Johnson
    <p>Ally Financial Inc.'s troubled mortgage subsidiary filed for Chapter 11 bankruptcy early Monday, potentially paving the way for Ally to sever itself from substantial litigation that has been a drag on its other operations and prevented it from repaying the remainder of its government bailout.</p>
  • Treasury Would Support Bankruptcy Of (Gubment-Owned GMAC/)Ally's ResCap Unit-Official

    05/07/2012 1:18:07 PM PDT · by tcrlaf · 3 replies
    NASDAQ ^ | 5-7-12 | Alan Zibel and Andrew R. Johnson
    The U.S. Treasury Department has agreed to support a bankruptcy filing for the struggling home-loan unit of government-owned lender Ally Financial Inc., if the company chooses to take that route, an official said Monday. A bankruptcy filing for Ally's subsidiary, Residential Capital, has been widely expected in the coming weeks, when the unit faces more than $300 million of bond-related payments. It recently missed a $20 million bond-interest payment, which has a grace period until May 17. ResCap, once one of the largest subprime-mortgage lenders in the country, has been a drag on Ally, which halted plans for an initial...
  • Citibank, 3 others fail Fed stress test; 15 pass (GMAC/ALLY Failed, Too)

    03/13/2012 1:43:26 PM PDT · by tcrlaf · 19 replies
    AP ^ | 3-13-12 | MARTIN CRUTSINGER
    WASHINGTON (AP) — The Federal Reserve says four major banks failed to show they have enough capital to survive another serious downturn. The list includes Citigroup, the nation's third-largest bank. The Fed says 15 of 19 major banks passed the stress test. The Fed noted that all of the banks have built up their capital reserves since the 2008 financial crisis. SunTrust and Ally Financial also failed the test.
  • Robosigning Is Now History - US Announces $26 Billion Foreclosure Settlement (shakedown)

    02/09/2012 9:54:42 AM PST · by Para-Ord.45 · 27 replies
    http://www.zerohedge.com ^ | February 9 2012 | Tyler Durden
    As reported yesterday, the cost of terminal abrogation of contractual rights in the US is, drumroll, $26 billion. Bloomberg notes: -$26 BILLION FORECLOSURE SETTLEMENT ANNOUNCED IN WASHINGTON -FORECLOSURE ACCORD RESOLVES 16-MONTH ROBO-SIGNING INVESTIGATION -FORECLOSURE ACCORD IS SUBJECT TO APPROVAL BY FEDERAL JUDGE -FORECLOSURE DEAL PRESERVES U.S., STATE RIGHTS TO OTHER CLAIMS -FORECLOSURE ACCORD COULD CLIMB TO $40 BLN IF 14 SERVICERS JOIN And a whole lot of corner offices for America's Attorneys General. As for what the market thinks of this "severe" settlement: BAC +1.2%, WFC +0.6%, JPM +0.4%, C -0.1%. For those who don't understand what just happened, US...
  • Ally Financial bets on risky subprime car loans (here we go again!)

    06/01/2011 1:37:02 AM PDT · by Daisyjane69 · 64 replies
    Reuters ^ | 5/31/11 | David Henry
    (Reuters) - Ally Financial Inc, the United States' largest maker of car loans, hopes that people have forgotten the time when "subprime" became a synonym for "disaster." Ally, once known as GMAC Financial Services, is getting ready to go public this year, and is making the case that subprime loans for used car buyers are not about to produce the same results that they did in the housing market a few years ago -- a near-collapse of the financial system. Auto loans performed relatively well during the downturn, and demand for cars is up, so auto lending is one of...
  • Bill Clinton to campaign for Emanuel in Chicago

    12/25/2010 10:31:58 PM PST · by 2ndDivisionVet · 17 replies
    The Chicago Tribune ^ | December 25, 2010 | Kristen Mack
    Former President Bill Clinton is coming to Chicago in January to campaign for mayoral candidate Rahm Emanuel. Before serving in President Barack Obama's White House and representing the North Side of Chicago in Congress, Emanuel worked in Clinton's administration as a senior adviser for policy and strategy. Clinton is scheduled to headline a public event that highlights Emanuel's role in passing a crime bill....
  • Judge Denies Protective Order of Removal of Jeffrey Stephan’s Deposition from “Internet Blog”

    10/16/2010 8:40:07 AM PDT · by Chunga85 · 12 replies · 1+ views
    4closureFraud ^ | 10/15/2010 | Michael Redman
    Plaintiff's Motion for Entry of Protective Order at 7. As grounds for it's motion, Plaintiff points to the embarrassment GMAC and it's employees suffered, and will continue to suffer, from the posting of excerpts from Stephan's deposition transcript on an Internet blog. The Court is not persuaded that the Plaintiff has shown the requisite "good cause" to justify entry of a protective order in this case.
  • US Stocks Retreat; Foreclosure Concerns Drag Down Financials - GET READY FOR TARP 2!!!

    10/14/2010 2:00:56 PM PDT · by Fred · 10 replies
    WSJ ^ | 101410 | Kristina Peterson and Steven Russolillo
    NEW YORK (Dow Jones)--U.S. stocks closed modestly lower Thursday as investors retreated from financials because of concerns over banks' foreclosure practices. The Dow Jones Industrial Average fell 1.51 points, or 0.01%, to 11094.6, snapping a four-session winning streak in a day of choppy trading. Financials led the Dow's declines. Bank of America dropped 69 cents, or 5.2%, to 12.60 and J.P. Morgan Chase fell $1.12, or 2.8%, to $38.72. Both are among the wave of banks reviewing their foreclosures after temporarily suspending evictions due to concerns over "robo signers," who approve hundreds of foreclosure documents a day. Among other banks...
  • Foreclosure Fraud: How You Can Be Driven to Default Even if You Pay On Time

    10/13/2010 1:17:11 PM PDT · by Fred · 43 replies
    CBS MoneyWatch ^ | 101310 | Jane Bryant Quinn
    The new, 49-state investigation into foreclosure frauds comes as no surprise to people who follow the mortgage service business. Shoddy, deceptive paperwork has plagued homewowners for years. In the industry’s slimy underside, firms push borrowers into default and foreclosure, even when they’ve been making payments on time. Their business model makes defaults profitable, says Marie McConnell who has been auditing mortgages for 24 years. The ugly chain of deception starts with the way the servicers handle your escrow account. A mortgage service company collects your monthly payments, deducts a fee, and passes the remainder to the investors who own the...
  • Ohio AG sues GMAC, Ally over foreclosure fraud

    10/06/2010 9:20:14 PM PDT · by Kartographer · 33 replies
    Market Watch ^ | 10/6/10
    Ohio Attorney General Richard Cordray announced a lawsuit Wednesday against GMAC Mortgage LLC and its parent Ally Financial Inc., accusing the loan servicer of filing fraudulent documents "to mislead courts in hundreds of Ohio foreclosures."
  • Here It Comes: Title Insurance Problems

    09/30/2010 10:26:19 PM PDT · by Future Useless Eater · 29 replies
    The Market Ticker ^ | September 30, 2010 | Karl Denninger
    Now we got trouble.I am in receipt of a copy of a bulletin from Old Republic Title in which it states: The Company will not insure title to any property which has been foreclosed by Ally Financial, Ally Bank or GMAC until further notice. Oops.I suspect this is going to spread fast, given that this "wee problem" is NOT specific to GMAC and Ally.  In fact, JP Morgan/Chase has reported "similar discrepancies", and then today we had my report on a ruling from a court in which a counterfeit summons was issued not by the court, but by a...
  • J.P. Morgan Chase to freeze foreclosures over flawed paperwork[At least 56K Mortgages]

    09/30/2010 5:36:50 AM PDT · by Palter · 24 replies
    The Washington Post ^ | 29 Sep 2010 | Ariana Eunjung Cha
    J.P. Morgan Chase, one of the nation's leading banks, announced Wednesday that it will freeze foreclosures in about half the country because of flawed paperwork, a move that Wall Street analysts said will pressure the rest of the industry to follow suit. The bank's decision will affect 56,000 borrowers in 23 states where allegations of forged documents and signatures and other similar problems are being used to try to overturn court-ordered evictions. Yet the impact may be much broader, given J.P. Morgan's stature in the industry. If other banks adopt the same approach, the foreclosure process in many parts of...
  • Ally's mortgage documentation problems could extend beyond 23 states

    09/24/2010 7:20:07 AM PDT · by Chunga85 · 23 replies
    The Washington Post ^ | 9/23/2010 | Ariana Eunjung Cha
    Ally Financial has not called off evictions in the other 27 states or the District of Columbia, none of which require a court order to initiate a foreclosure. And yet in those places, distressed borrowers, on the brink of losing their homes, are finding flawed and forged documents in their files and scrambling to challenge foreclosure proceedings. Joan Cavanagh, who lives near Cape Cod, in Massachusetts, a state not included in Ally Financial's moratorium, is scheduled to be kicked out of her home in 30 days. Her documents were signed by Jeffrey Stephan, the Ally document processor who admitted that...
  • Amid mountain of paperwork, shortcuts and forgeries mar foreclosure process

    09/22/2010 9:51:13 PM PDT · by Chunga85 · 16 replies · 1+ views
    The Washington Post ^ | 9/22/2010 | Ariana Eunjung Cha and Brady Dennis
    The nation's overburdened foreclosure system is riddled with faked documents, forged signatures and lenders who take shortcuts reviewing borrower's files, according to court documents and interviews with attorneys, housing advocates and company officials. The problems, which are so widespread that some judges approving the foreclosures ignore them, are coming to light after Ally Financial, the country's fourth-biggest mortgage lender, halted home evictions in 23 states this week.
  • Real Estate Time Bomb. Title of Foreclosed Properties Clouded. Dumping Risk on Hapless Buyers

    09/21/2010 8:27:51 AM PDT · by Leisler · 16 replies
    Naked Capitalism ^ | September 18, 2010 | Yves Smith
    Another ticking time bomb in the realm of real estate bad behavior is bound to go off sooner rather than later, and it is likely to impede normalization of values of residential property. As readers no doubt know, there is a lot of actual and shadow residential real estate inventory in the US. The time from serious delinquency to foreclosure has lengthened considerably, due not just to crowded court dockets, but also bank/servicer disinclination to take possession (reasons include that investors take a dim view of bank real estate holdings; the bank is liable for expenses, most important real estate...
  • Ally Financial Suspends Some Foreclosures (GMAC)

    09/20/2010 5:26:39 PM PDT · by PAR35 · 30 replies
    Wall Street Journal ^ | SEPTEMBER 20, 2010 | ROBBIE WHELAN And APARAJITA SAHA-BUBNA
    GMAC Mortgage, one of the nation's largest servicers of home loans, said it is suspending sales of foreclosed homes and putting a moratorium on evictions of borrowers who have fallen behind on their mortgages in 23 states. The company, a unit of Ally Financial Inc., which is majority-owned by the U.S. government, - snip -
  • Oh Oh.... Does Someone Smell Something?

    09/20/2010 8:08:56 AM PDT · by blam · 15 replies · 1+ views
    The Market Ticker ^ | 9-20-2010 | Karl Denninger
  • Watchdog: GMAC bailout could cost taxpayers $6.3B

    03/11/2010 6:00:04 AM PST · by Cheap_Hessian · 8 replies · 317+ views
    Yahoo Finance (AP) ^ | March 11, 2010 | Daniel Wagner
    WASHINGTON (AP) -- The Treasury Department sank billions into auto finance giant GMAC Inc. without an exit strategy or proof the company was viable -- a decision that could cost taxpayers $6.3 billion, a new watchdog report says. The government said the $17.2 billion bailout was a necessary step to save troubled automakers General Motors and Chrysler. GMAC provides critical financing to auto dealers, who borrow to finance their fleets until the cars can be sold to consumers. Yet GMAC faced far fewer conditions than the bailed-out automakers, the report says. When the automakers were rescued, they were forced into...
  • McCain sees irony in Paulson reforms (McCain attacks Paulson, Bush) ("We were all misled")

    03/01/2010 5:02:38 AM PST · by rabscuttle385 · 20 replies · 615+ views
    Politico ^ | 2010-03-01 | Patrick O'Connor
    As the Republican presidential candidate in the fall of 2008, Arizona Sen. John McCain had more power than anyone to upend the Wall Street rescue package. But McCain now feels duped by former Republican Treasury Secretary Henry Paulson. “We were all misled,” McCain said Sunday on NBC’s “Meet the Press,” speaking of Paulson. “What did he do? He started pumping money into the financial institutions. Now the financial institutions are fine — Wall Street’s doing great. Main Street is in deep trouble.” Paulson and other former Bush administration officials told Congress at the time that the $700 billion lawmakers approved...
  • Will the American People Finally Revolt? Federal indulgence and incompetence are too vast...

    01/04/2010 12:51:24 PM PST · by neverdem · 54 replies · 3,373+ views
    National Review Online ^ | January 04, 2010 | Deroy Murdock
    January 04, 2010, 0:00 a.m. Will the American People Finally Revolt?Federal indulgence and incompetence are too vast to catalogue. By Deroy Murdock Where is Nelson Mandela when we need him? In an especially memorable moment in Clint Eastwood’s fine new film Invictus, South Africa’s first black president (exquisitely portrayed by Morgan Freeman) inspects his first official paycheck. “This is terrible,” Mandela says. He decides he earns too much money and subsequently donates a third of his salary to charity. Thus was born the Nelson Mandela Children’s Fund. Mandela’s humility and fiscal restraint would be as exotic in the nation’s...
  • BAILOUT TRAIN NOT LOSING STEAM, SAYS REP. TOM PRICE

    01/02/2010 10:24:50 PM PST · by TheFreedomPoster · 2 replies · 414+ views
    THE FREEDOM POST ^ | January 2, 2010 | Matthew Burke
    Republican Study Committee Chairman, Rep. Tom Price (R-GA), issued the following statement after the administration announced it was providing another bailout and taking larger ownership of GMAC...
  • GOVERNMENT INTELLIGENCE: TREASURY "Annouces Resturcturing" OF GMAC BAILOUT

    01/01/2010 10:02:55 PM PST · by TheFreedomPoster · 3 replies · 472+ views
    THE FREEDOM POST ^ | January 1, 2010 | Matthew Burke
    GOVERNMENT DOLES OUT $3.8 BILLION TO GMAC, MISSPELLS TWO WORDS IN HEADLINE: I kid you not. And just in case someone from the U. S. Treasury comes back and checks their spelling, I've copied and pasted the announcement below (page down). Notice the headline: "Treasury 'Annouces Resturcturing' of Commitment To GMAC"
  • GMAC Set for Another Cash Infusion (now $16 billion in US money)

    12/29/2009 3:26:51 PM PST · by BurbankKarl · 26 replies · 1,853+ views
    Wall Street Journal ^ | 12/29/09 | By DAN FITZPATRICK And DEBORAH SOLOMON
    <p>GMAC Financial Services is close to getting approximately $3.5 billion in additional aid from the U.S. government, on top of $12.5 billion already received since December 2008, according to people familiar with the situation.</p> <p>The announcement, expected within days, will coincide with GMAC taking additional steps to absorb losses related to its mortgage operations, these people said. The cleanup is designed to return the Detroit-based finance company to profitability in the first quarter of 2010, according to one of these people.</p>
  • GMAC Chief Ousted by Board (Needs another bailout)

    11/16/2009 7:12:10 PM PST · by Pan_Yan · 28 replies · 1,271+ views
    WSJ ^ | NOVEMBER 16, 2009, 9:17 P.M. ET | DAN FITZPATRICK and DAVID ENRICH
    In a surprise move, the head of GMAC Financial Services -- the giant, taxpayer-supported auto lender -- was ousted Monday. The forced resignation of Alvaro de Molina after only 19 months as chief executive caps a series of clashes with regulators and mounting board frustration over his turnaround plans for the Detroit company. GMAC has received $12.5 billion in taxpayer money since December 2008 in two installments, giving the U.S. government a 35.4% stake and growing power over the firm's trajectory. Government officials said they made no suggestion to GMAC's board to dump Mr. de Molina. "That was 100% GMAC's...
  • Consumers Beware: Ally Bank is GMAC

    11/05/2009 11:32:10 AM PST · by jazusamo · 7 replies · 647+ views
    NLPC ^ | November 5, 2009 | Peter Flaherty
    Who knew? Ally Bank is running all those TV ads belittling the “fine print” used by other banks. But as the Wall Street Journal detailed on Tuesday, the ads do not disclose that Ally is a unit of troubled GMAC  Financial Services, the former financing arm of GM, now seeking its third multi-billion taxpayer  bailout.Ally had been offering some of the highest CD interest rates in the nation until federal bank regulators pressured Ally to reduce them. Lower rates are one thing but there is another compelling consideration when shopping CD rates. When you deposit your money with Ally, you...
  • Treasury, GMAC in talks for 3rd round of US aid

    10/28/2009 8:39:39 AM PDT · by Kartographer · 36 replies · 1,268+ views
    AP/GoogleNews ^ | 10/28/09
    GMAC, the former lending arm of General Motors Co., is in talks with the Treasury Department for a third injection of taxpayer aid, a further sign of the U.S. government's entrenchment in the U.S. auto industry. The Treasury Department mandated earlier this year that GMAC Financial Services raise an additional $11.5 billion in capital after undergoing a "stress test" along with 18 other banks. While other banks deemed undercapitalized have been able to raise funds from private investors, GMAC has been forced to go back to the government.
  • Pay Czar Feinberg, Not Obama, Behind Decision to Slash Executive Pay [All Hail Caesar!]

    10/22/2009 12:01:26 PM PDT · by Steelfish · 31 replies · 1,433+ views
    FoxNews ^ | October 22nd 2009
    Pay Czar Feinberg, Not Obama, Behind Decision to Slash Executive Pay White House pay czar Kenneth Feinberg did not seek President Obama's approval to order steep pay cuts from bailed-out executives. Thursday, October 22, 2009 White House pay czar Kenneth Feinberg was the driving force behind the move to order steep pay cuts from bailed-out executives, and did not even seek the president's approval before making his decision. The Treasury Department is expected to formally announce in the next few days a plan to slash annual salaries by about 90 percent from last year for the 25 highest-paid executives at...
  • Ford Says Government Backed Debt For GMAC Is Unfair

    06/09/2009 8:54:34 PM PDT · by FromLori · 35 replies · 1,090+ views
    More tales from broken the credit markets. Read » Ford has been learning the danger of being a relatively successful company in the age of bailouts: higher borrowing costs. The Associated Press breaks down the numbers: GMAC, 9.9 percent owned by GM and lender to its dealers and buyers, sold $3.5 billion of 2.2 percent three-and-a-half year notes on June 3 guaranteed by the Federal Deposit Insurance Corp. priced at 99.841 cents on the dollar to yield 2.25 percent. Ford issued $1.1 billion of five-year 8 percent notes May 28, priced at 82.036 cents on the dollar to yield 13...
  • Auto lender GMAC spent $410,000 lobbying federal government in first quarter

    06/04/2009 9:43:17 AM PDT · by lifeisacarnival · 4 replies · 367+ views
    Washington Examiner ^ | 06-04-2009 | AP
    Big auto and mortgage lender GMAC LLC, which has received $12.5 billion in federal bailout aid, spent $410,000 lobbying in the first quarter on legislation putting restrictions on companies receiving the rescue money, its restructuring as a bank holding company and other issues, according to a recent disclosure report.
  • U.S. could take 17 years to exit GMAC after an IPO

    05/22/2009 7:39:44 AM PDT · by Oldeconomybuyer · 8 replies · 567+ views
    Reuters ^ | May 22, 2009 | By Jonathan Stempel
    CHICAGO (Reuters) - GMAC LLC, which is giving the U.S. Treasury Department a 35.4 percent equity stake, said on Friday it might take 17 years for the government to shed its investment if the auto and mortgage lender were to go public. The timetable suggests that federal involvement in GMAC's affairs could persist long after troubles plaguing the economy and the auto industry end. GMAC has gotten $12.5 billion of government infusions since December, including $7.5 billion on Thursday.
  • 'HUGO' OBAMA'S PRINTING PRESS GIVES ANOTHER $7.5 BILLION TO GMAC

    05/21/2009 6:40:35 PM PDT · by TheFreedomPoster · 224+ views
    The Freedom Post ^ | May 21, 2009 | TheCapitalist
    The Obama administration announced late Thursday that it's forking over another $7.5 billion to GMAC, LLC (General Motors Acceptance Corp.). And, in keeping with the fascist theme of this new administration, the government has mandated two new directors to GMAC's board of directors. Not that anyone is keeping track, but this now totals approximately $13.5 billion that the government (supposedly you and me) have invested in GMAC. Oh, how quickly times have changed. Or, have they? Just yesterday, Turbo Tax Cheat Timothy Geithner said that the administration wasn't getting involved in management decisions at General Motors Corp. Oh, I see...they're...
  • U.S. pours $7.5 billion into auto lender GMAC

    05/21/2009 6:36:23 PM PDT · by What127 · 3 replies · 183+ views
    Reuters ^ | 5/21/09 | Glenn Somerville and Corbett Daly
    WASHINGTON, May 21 (Reuters) - The U.S. Treasury Department said on Thursday it has put another $7.5 billion into auto lender GMAC to enable it to support both Chrysler LLC [CBS.UL], and General Motors Corp Corp (GM.N) car buyers and partly meet a shortage of capital.
  • U.S. pours $7.5 billion into auto lender GMAC

    05/21/2009 5:37:46 PM PDT · by americanophile · 18 replies · 978+ views
    Glenn Somerville and Corbett Daly ^ | May 21, 2009 | Glenn Somerville and Corbett Daly
    By Glenn Somerville and Corbett Daly WASHINGTON, May 21 (Reuters) - The U.S. Treasury Department said on Thursday it has put another $7.5 billion into auto lender GMAC to enable it to support both Chrysler LLC [CBS.UL], and General Motors Corp Corp (GM.N) car buyers and partly meet a shortage of capital. The widely anticipated action is intended to help counter a scarcity of credit that has helped drive sales of domestic cars into a ditch. The Federal Reserve also extended an exemption that will let GMAC keep lending to GM dealers and retail customers, which it normally would be...
  • U.S. to inject $7.5 billion more into GMAC-report

    05/21/2009 12:03:55 AM PDT · by bruinbirdman · 17 replies · 815+ views
    Forbes ^ | 5/20/2009
    The U.S. Treasury Department is preparing to announce as early as Wednesday that it will invest an additional $7.5 billion in lender GMAC LLC in a deal that could allow the U.S. government to hold a majority stake in the Detroit-based auto finance company, the Detroit News reported. GMAC (GJM), which also provides loans for consumers to buy General Motors Corp (GM) and Chrysler LLC vehicles, has been in talks for several weeks to secure additional capital, the newspaper said. The U.S. Treasury declined to comment. A GMAC spokesman could not be immediately reached for comment. U.S. Treasury Secretary Timothy...
  • MERKIN TO FACE COURTS (GMAC chair got $6B bailout--fed Madoff via several hedge funds)

    05/08/2009 7:07:08 AM PDT · by Liz · 15 replies · 918+ views
    NY POST ^ | 5/8/09 | Copyright Reuters. All rights reserved.
    REUTERS A lawsuit charges hedge-funder Ezra Merkin "knew or should have known" that Madoff was a fraud, and seeks $500M from Merkin's funds. Merkin's Gabriel Capital Corp. received $tens of millions in fees from deals with Madoff. Stanley Chais of California was charged last Friday. Microsoft's wholly owned affiliate, Microsoft Licensing GP, one of the pioneers in the field of computerized stock trading, joined the Bankruptcy Court case against Madoff, but declined to discuss its claims against the swindler.
  • GMAC revives sub-prime car loans

    04/02/2009 11:13:38 PM PDT · by CutePuppy · 9 replies · 1,016+ views
    BBC ^ | April 1, 2009 | BBC
    GMAC revives sub-prime car loansGeneral Motors' (GM) finance division is cutting financing costs and reviving sub-prime lending to speed up a car sales revival.GMAC Financial Services will make an extra $5bn (Ł3.46bn) available as loans to car buyers over the next 60 days. Dealers are also having fees and repayments slashed or delayed to help them clear a back-log of unsold cars. GM has been given a 1 June deadline to come up with a restructuring plan. The alternative is bankruptcy. GMAC's additional car financing packages will be made available for buyers of both new and used cars. ..... GMAC,...
  • GETTING SERIOUS; AG WEIGHS INVESTIGATION OF MERKIN (hedger cum GMAC chair slobbed $6B tax dollars)

    01/12/2009 3:49:34 AM PST · by Liz · 12 replies · 753+ views
    NY POST ^ | 1/11/09 | JAMES DORAN
    Ezra Merkin may have jumped from the frying pan right into the fire.....the hedge-fund billionaire who lost as much as $3 billion in investor funds with Bernie Madoff has the NYAG looking over various pieces of evidence ahead of a possible full-fledged probe........Merkin was feeding hedge funds into Madoff's operation while serving as GMAC Chair (an auto-and home-financing company).......many felt Merkin should not be trusted with $6B federal rescue money GMAC received. Merkin resigned as GMAC chair Friday.....he pocketed hundreds of millions of dollars in investment fees over the years. Merkin lives in a posh duplex at 740 Park Ave,...
  • NY TO PROBE MADOFF-LINKED HEDGE FUND MANAGER (swilling at the federal tax trough)

    01/16/2009 4:55:46 AM PST · by Liz · 16 replies · 1,533+ views
    NY POSY=T ^ | 1/16/09 | STAFF
    ...... US investigators want to know whether hedge fund operator J. Ezra Merkin misled tax-exempt schools and charities about how he invested their money....... authorities have subpoenaed records from three investment funds run by Merkin, who recently chaired GMAC Financial Services LLC, the auto/housing financing arm of General Motors..... 15 tax-exempt nonprofits tied to Merkin are asked to turn over records and other information. Merkin's key fund, Ascot Partners LP, had invested almost all of its $1.5B assets with Madoff. Merkin's funds Gabriel, Ascot, and Ariel Management Corp, already face a string of lawsuits from investors who say they were...
  • GOOD RIDDANCE (stinking up Wall Street: GMAC's Merkin, Citi's Rubin)

    01/10/2009 6:46:32 AM PST · by Liz · 19 replies · 841+ views
    NY POST ^ | 1/10/09 | EDITORIAL
    Two high-profile culprits in a pair of colossal economic scandals bit the dust yesterday.... * Robert Rubin, Clinton's onetime Treasury secretary, resigned as senior counselor at Citigroup. * Madoffian J. Ezra Merkin resigned as GMAC Financial Services Chairman, effective immediately. Rubin architected risky debt strategy that brought once-great Citi to its knees, costing it $20 billion in losses the past year alone. ....shares fell to 10% of as Rubin was collecting $115 million in salary - plus stock options. Now America's taxpayers are forced to bail out Citigroup to the tune of $45 billion in cash and $306 billion in...
  • Madoff Crony Ezra Merkin Resigns as GMAC Chairman

    01/09/2009 6:30:40 PM PST · by Lorianne · 8 replies · 572+ views
    The Auto Channel ^ | January 9, 2009 | Edwin Black
    Last week on TheCuttingEdgeNews.com and TheAutoChannel.com, investigative journalist Edwin Black broke the story that Bernie Madoff's cohort Ezra Merkin is, of all things, the Chairman of GMAC. Edwin's report chronicled Merkin's own highly questionable history and financial/legal problems. Late this afternoon, GMAC Financial Services LLC announced that Chairman J. Ezra Merkin is stepping down effective immediately, as GMAC prepares to name a new board of directors. At the time that the original report was published on December 30th, CNN News had missed this story completely, even though GMAC had just received $5 billion of Federal Bailout funds. As of the...
  • End Run Around the Treasury

    01/08/2009 5:34:42 AM PST · by fiscon1 · 4 replies · 415+ views
    Real Clear Politics ^ | 01/08/2009 | GEorge Will
    In America's ever-more-democratic society, egalitarianism seeps into everything, even the supposedly severe meritocracy of sport. So every 7-year-old who has soccer shoes laced up by a parent gets a trophy just for showing up, and almost every college football team that is not dreadful is "bowl eligible." That is why there are 34 bowl games, which is why you might not have noticed Tuesday's Bailout Bowl (Ball State vs. Tulsa, by the way), in which you could have seen your tax dollars at work. Or at play. The game's real name was the GMAC Bowl. GMAC is known as the...
  • BERNIE'S PAL MERKIN NEEDS TO LEAVE GMAC (the leech that bilked taxpayers of billions)

    01/08/2009 2:17:58 AM PST · by Liz · 11 replies · 542+ views
    NY POST ^ | 1/8/09 | MARK DeCAMBRE
    The move is gearing up to oust GMAC Chair J. Ezra Merkin in the wake of GMAC scoring a $6B injection from the federal government and securing approval to convert into a bank holding company. GMAC's approval was contingent on retooling its 12-member board......observers believe that's not soon enough after Merkin lost some $1.8B that he funneled to arch-swindler Madoff. Under Merkin, GMAC spiraled into nearly $8B in losses. Merkin was one of the original backers of private-equity shop Cerberus Capital's move to own a 51% stake in GMAC....the shop was required to relinquish its majority stake after GMAC converted...
  • WELL .. THAT WAS RATHER INTERESTING

    01/05/2009 9:40:14 AM PST · by Turret Gunner A20 · 28 replies · 1,452+ views
    NEALZ NUZE ^ | January 5, 2009 | NEAL BOORTZ
    ... 2008, I mean. Democrat and (to some extent) Republican schemes to make every American, no matter how qualified, a homeowner leads to financial disaster, everybody with a business license is lining up for government (taxpayer) largess, the YouTube and Entertainment Tonight generation - people who have no clue in the world how our government actually works or who the key players are - turn a presidential election into a glorified version of American Idol, and now our wonderful elected officials in Washington are getting ready to vote on and pass a ONE TRILLION dollar stimulus bill without even so...