Good: Supreme Court Delays Chrysler Sale

Considering the hate speech of Obama and the death threats the bondholders received, good. It may be the right thing to sell, but slowing down the deal that Obama and Rattner shoved through is a very good thing. From the Times:

The United States Supreme Court agreed Monday afternoon to delay the sale of most of Chrysler’s assets to Fiat pending further consideration of an appeal by three Indiana state funds, in a move that injects a new element of uncertainty over the carmaker’s bankruptcy case

Justice Ruth Bader Ginsburg, who handles emergency matters arising from the United States Appeals Court for the Second Circuit, issued a stay of the sale, preventing Chrysler and Fiat from completing the transaction immediately.The appeals court had delayed the closing of the deal until 4 p.m. Monday or until the Supreme Court declined to issue its own delay.

According to The Associated Press, Justice Ginsburg the sale was "stayed pending further order."The action indicates that the delay may only be temporary.Lawyers for the three Indiana funds, which represent teachers and police officers, filed their appeal to Justice Ginsburg late Saturday night, after the Second Circuit reaffirmed a lower court’s approval of the sale.

The Indiana funds have sought greater compensation for their portion of Chrysler’s $6.9 billion in secured debt. They have also argued that the Obama administration illegally used federal bailout money earmarked for financial institutions to help Chrysler.