Tuesday, January 8, 2013

This might be the Obama Administration getting Bitten

by the  highly questionable legality of it's actions.

"The board of A.I.G. will meet on Wednesday to consider joining a $25 billion shareholder lawsuit against the government, court records show. The lawsuit does not argue that government help was not needed. It contends that the onerous nature of the rescue - the taking of what became a 92 percent stake in the company, the deal's high interest rates and the funneling of billions to the insurer's Wall Street clients - deprived shareholders of tens of billions of dollars and violated the Fifth Amendment, which prohibits the taking of private property for "public use, without just compensation."

Combining this with the Bankruptcy of GM, it doesn't look good for the Obama Administration.

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