Saturday, May 09, 2009
Despite death threats, objecting Chrysler lenders must disclose identities
...A small group of Chrysler’s lenders who have objected to the Obama administration’s plan for a quick dash through bankruptcy must identify themselves, in spite of death threats, a U.S. judge ruled on Tuesday.
Judge Arthur Gonzalez, who is overseeing Chrysler’s bankruptcy case in Manhattan, said that the lenders must disclose their identities on Wednesday morning, leaving open the possibility that some may change their minds.
"These lenders do not have grounds for (their identity) statement to be sealed," Gonzalez said at the court hearing, saying threats on the Internet did not meet the bar for such a request and that concerns about reputational harm were not subject to protection by the court.
In court papers filed earlier on Tuesday, the group of lenders said they were being blamed unfairly for Chrysler’s failure amid a political backlash. Tom Lauria, the lawyer representing the lenders, said that a public disclosure of the identities of the funds would "force several of these lenders to surrender their legal rights and agree to the government’s illegal plan."
The group, which calls itself the company’s "non-TARP lenders," says its members have taken no bailout money from the government and that the four large banks that agreed to the Chrysler bankruptcy plan do not represent their interests because of their participation in the government support program....