Obama Auto Team had big role in Delphi Pension Decisions, Inspector General Says

The Office of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP) today released a significant report regarding the involvement of the U.S. Treasury in decisions that affected thousands of Delphi salaried retirees' pensions – decisions related to the "quick rinse" bankruptcy proceedings for General Motors and Delphi.

House Oversight and Government Reform Committee Chairman Darrell Issa (R-CA), and Congressman Michael Turner (R-OH) today released statements on the SIGTARP report:

  • “The Obama Administration said time after time that it would not play a role in the day to day operations of GM,” said Chairman Issa. “The SIGTARP report finds, unequivocally, that Treasury usurped authority at GM and played a heavy hand in decision-making at the company. This is troubling news that lends credence to the fact that the federal government essentially took over a private company and made decisions that chose winners and losers.”
  • “The report released today completely discredits the Administration's statement that they did not influence GM and were not involved in GM's or the PBGC's decision making,” added Turner.

DSRA is pleased and encouraged to see the detail of the SIGTARP report and is considering the implications of its significant content.

Sen. Brown Introduces Bill to Expand and Permanently Extend Health Coverage Tax Credit for Delphi Salaried Retirees

Sen. Brown
Sen. Rockefeller
  
WASHINGTON, D.C. — [2013-08-02], U.S. Sen. Sherrod Brown (D-OH), a member of the Senate Finance Committee, co-sponsored Senate Bill S.1446 with U.S. Sen. Jay Rockefeller (D-WV) to expand and permanently extend the Health Coverage Tax Credit (HCTC) for Delphi salaried retirees as a part of the Trade Adjustment Assistance (TAA) program. This important tax credit would help the Delphi workers afford health coverage after losing much of their pensions and benefits. ~~
 
DSRA comment: - We await developments as both Senate Bill S.1446 and recently announced House Bill H.R.2783 proceed with similar objectives.  We will update postings as more information becomes available.
 

Issa Subpoenas Treasury for Documents on Delphi Pension Deal

Chair Issa
  
WASHINGTON – House Oversight and Government Reform Committee Chairman Darrell Issa, R-Calif., today subpoenaed Treasury Secretary Jacob Lew for information related to the Committee’s investigation into the preferential treatment afforded to Delphi’s unionized employees during the bankruptcy and taxpayer-funded bailout of General Motors. ~~
 
The subpoena issued today requests all records and communications referring or relating to retirement or pension benefits for General Motors Company and/or Delphi Corporation employees, sent or received by any employee of the U.S. Department of the Treasury, to or from:
 
       
•  any employee of the President’s Automotive Task Force;
•  any employee of the United Auto Workers;
•  any employee of the Pension Benefit Guaranty Corporation;
•  any employee of General Motors Company;
•  any employee of Delphi Corporation;
•  any employee of DPH Holdings Corporation; or,
•  any Public Official.

Oversight Leaders Demand Delphi Pension Documents, Consider Subpoena

Chair Issa
Chair Mica
Rep. Turner

 

 

Sec. Lew
Treasury
Dir. Gotbaum
PBGC
WASHINGTON – [Mon 2013-07-22] leaders on the House Oversight and Government Reform Committee pressed Treasury Secretary Jacob Lew to release documents related to the Delphi pension scandal and raised the possibility of using the compulsory process if the long-sought documents are not finally produced by August 5th.
 
Committee Chairman Darrell Issa (R-Calif.), Subcommittee Chairman John Mica (R-Fla.) and senior Committee member Mike Turner (R-Ohio) sent letters to Secretary Lew and Josh Gotbaum, Director of the Pension Benefit Guaranty Corporation, seeking documents related to the preferential treatment Delphi’s unionized employees received during the taxpayer-funded bailout of General Motors in 2008.
 
“Now is the time for the Treasury Department and the Pension Benefit Guaranty Corporation to stop stonewalling the Committee’s legitimate requests,” said Chairman John Mica, R-Fla. “We will take whatever steps necessary to uncover all the facts and to expose how the TARP union bailout transpired.”   ~~ Read more – Committee press release