Report: Obama Admin Bungled Auto Takeover

Via Ed Morrissey at Hot Air comes news of a forthcoming report that finds the feds have screwed up their takeover of GM and Chrysler. Specifically, the inspector general of the TARP program faults the government for pushing to close so many dealerships so quickly (and notes that GM did not apparently follow its own guidelines for which dealers to shut down). Take it away, Cap'n Ed:

Barack Obama put Steve Rattner in charge of running his auto bailout program, a man who had just as much experience in the auto industry as Obama did: he drove a few cars.  Rattner had to make a quick exit after just a few months when it became known that he was the target of a federal probe into questionable activities regarding the New York pension fund — and his replacement had just as much experience in the auto industry as Rattner did.

What was the main entry on Ron Bloom’s resume?  He was a union negotiator.

Let’s keep this in mind when Democrats insist that government can run industries better than the markets themselves.  Not only did the White House purposely evade bankruptcy laws in cutting sweet deals for unions during the bailout, but they also destroyed jobs in the process out of incompetency. 

More here.

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  • ||

    They meant well.

  • Suki||

    +1

  • ||

    And they were the best and the brightest. Rattner went to Brown and was a reporter at the Washington Post. Bloom went to Wesleyan, Harvard and worked for Unions.

    They were the "best and brightest" J sub D. Clearly we didn't give them enough power and the wrench turning dolts at GM ignored their sage advice.

  • MNG||

    John|7.19.10 @ 2:22PM|#
    I was wrong.

  • Pip||

    WTF is wrong with you? Jesus!

  • ||

    He stopped taking his meds. apparently

  • hmm||

    I want my own stalker.

  • Suki||

    That headline wrote itself.

  • Ska||

    Also acceptable:
    Obama Admin Bungholed Auto Takeover

  • Tman||

    Jalopnik, the car blog had a fascinating piece on the "MiniCar" which in 1966 was the first attempt by the US Government to design a car, one which would meet the highest safety standards.

    The Government ended up destroying all of the cars, except for two which still survive today. If ever there was an example of why the US Government doesn't belong in the auto manufacturing business, the Minicar is exhibit A.

    How The U.S. Government Killed The Safest Car Ever Built

  • ||

    That is really interesting. Good blog to. One of the posts is about on of Episiarch's girlfriends.

    http://jalopnik.com/5586985/th.....ue&s=i

  • ||

    You wildly over-estimate his standards.

  • MNG||

    John|7.19.10 @ 2:22PM|#
    I was wrong.

  • Pip||

  • ||

    MNG|7.18.10 @ 9:31PM|#
    I'm a douche.

  • Episiarch's boyfriend||

    Bitches!

  • The Libertarian Guy||

    What an ugly car. Figures, though, as it was designed by bureaucrats, basically.

    Figures, also, that they'd kill their own creation. Must have scared the shit out of themselves to come up with something that functional, if not attractive.

  • ||

    Looks like an unholy union between a Pacer and a DeLorean.

  • The Libertarian Guy||

    Yeah. I thought the 1958 Buick Roadmaster Limited was ugly, but FUCK... at least it was designed by private industry.

  • hmm||

    Jalopnik rocks!

  • Rich||

    Of course, they had to *do* the takeover to see how it would work.

  • Old Mexican||

    Let’s keep this in mind when Democrats insist that government can run industries better than the markets themselves. Not only did the White House purposely evade bankruptcy laws in cutting sweet deals for unions during the bailout, but they also destroyed jobs in the process out of incompetency.

    Maybe the cars will look cooler . . .

    http://www.nytimes.com/2004/10......html?_r=1

  • Subsidize Me!||

    I'll never buy anything from either of these companies until I see a dividend added to my tax return.

  • Subsidize Me!||

    Whoops, what I meant was I'll never fucking buy anything from either of these companies.

  • Jay||

    Hot Air - wasn't that founded by that charming girl who wrote a book defending the internment of American citizens of Japanese descent in concentration camps?

    /Jay

  • Jordan||

    Well, according to our resident utilitarian, that's totally cool.

  • ▲ ▲||

    Because we all know that if you disagree with a single opinion of someone, you disagree with all of them.

  • Jay||

    It's hardly one thing that I or any principled libertarian, disagree with her on.
    I hope that libertarians also disagree with her warmongering, her support for torture, and her opposition to gay marriage.

    /Jay

  • Gilbert Martin||

    " Not only did the White House purposely evade bankruptcy laws in cutting sweet deals for unions during the bailout,"

    Or to be more direct about it - the administration robbed the bondholders of their share of the companuy and handed it over to the UAW.

  • ||

    My god Jay....you're right!!

  • Obama||

    Well, I be damned, I can't pick winners and losers, just losers.

  • ||

    Which is what Harvard seems to pump out these days.

  • ||

    Jalopnik is part of the excrescence factory which is Gawker. I hate them.

  • ||

    I will say this about Jalopnik: without disagreeing with much anything Mr. Brooks wrote, it is at least more interesting than most of the other car blogs I've seen.

    If you want news about what models are coming out or what GM is doing, Autoblog or Motor Authority will do, but Jalopnik covers the culture of cars better than others.

    And they are a bit less douchy than, say, i09.

  • ||

    There are actual douches on the market that are less douchey than io9.

  • ||

    "GAWKER douches. The searing pain means that it's working."

  • Abdul||

    Obama still has years to fail as bad as the Yugoslavian state-run car makers. But, somehow, I bet he'll get a lousier car that's more expensive in just half the time.

  • Federal Dog||

    They'll call it the "Barack," and it will be designed to completely implode within one year of purchase.

    And plenty of buyers will somehow be stunned at the moment of detonation.

  • ||

    And it will also run up a trillion dollars on your credit cards.

  • ||

    The Barack, 4 Door Sedan, available in the following colors: Coal, Midnight, Onyx, and Pimpin' Purple.

    /racist!

  • Tim||

    My 2008 Barack has developed a huge oil leak that nobody can seem to fix.

  • ||

    Sweet.

  • MNG||

    ARFARFARFARFARFARFARFARFARFARFARFARFARFARFARFARF

  • BeltwayLurker||

    I missed the racism dogwhistle. Where was it?

  • ||

    I confess, once in a while I sneak a peek. Jalopnik is actually interesting, but they suffer from the same horribleness of design which is the hallmark of every Gawker blog.

    I also must confess to having derived great amusement from Project Car Hell.

  • Moz||

    No discussion of the auto bailout is complete without remembering the associated "Cash for Clunkers" program. $5 billion or so bought us proof that nobody at USDOT reads Bastiat.

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