Saturday, October 20, 2012

Romney profit from bailouts: hege fund pay days $12.9 billion from US taxpayers.

Mitt Romney/AP

Review of article From The Nation

 "Once the hedge funders, including Singer—a deep-pocketed right-wing donor and activist who serves as chair of the conservative, anti-union Manhattan Institute—took control of the firm, they rid Delphi of every single one of its 25,200 unionized workers. Of the twenty-nine Delphi plants operating in the United States when the hedge funders began buying up control, only four remain, with not a single union production worker. Romney’s “job creators” did create jobs—in China, where Delphi now produces the parts used by GM and other major automakers here and abroad. Delphi is now incorporated overseas, leaving the company with 5,000 employees in the United States (versus almost 100,000 abroad)."

The Nation published an excellent article explaining how the auto industry bail out, the one that Romney blasts all the time during his campaign, has helped make him millions of dollars.  By using his wife Anns, blind trust that invested 1 million dollars into Singer's "vulture investment, " he and his wife, Ann, personally gained at least $15.3 million from the bailout."

The Romneys were invested with Elliott Management by the end of 2010, before a GM parts supplier, Delphy, was publicly traded.  The investment that Ann made could have been more than 1 million, because of the minimal disclosure required by law, does not make them tell how much they really invested in this vulture investment plan...before the automobile bailout plan had taken place.  Romney did not keep the holding in "his" name because if he had, he would have to reveal that he earned more than $50 million dollars...from our tax money in bailout and Stingers vulture investment plan.

Not only that, but the article says, that the bailout plan was to help save the 25, 200 unionized workers. Instead, due to the trading of the company into other hands and GM control holding GM by the hair as the sole supplier; the end result is that the 25, 200 union workers lost their jobs.  Out of 29 factories in the United States, only four remain in America leaving America with 5,000 employees and 100,000 working abroad in China.  Yes, Romney did create jobs...but not in America, but in China.

Ad's have been running blaming Obama for the pension disaster and those forced to retire early, earning minimal wages are interviewed on the television ads.  However, it was not Obama that is responsible for the pension disaster  that left 20,000 with a minimal pension plan.  It was Stinger and other hege funds that controlled Delphi. 

To read more on how this was done read the Mitt Romney's Bailout Bonanza on the Nation.

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