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Were Republicans Targeted in GM and Chrysler Dealership Closures?
NLPC ^ | May 28, 2013 | Mark Modica

Posted on 05/28/2013 9:10:31 AM PDT by jazusamo

Chevrolet dealership photo

The IRS scandal that revealed targeting of conservative groups by the Treasury Department has reopened speculation that the Obama-orchestrated auto bailouts unfairly targeted Republican-leaning dealerships for closure. Republican Congressmen Mike Kelly (PA) and Jim Renacci (OH) have penned a letter to Treasury Secretary Jack Lew requesting documentation so that an investigation can determine what criteria was used to shutter dealers that appear to have had one thing in common: their political affiliations.

The outrageous behavior of the IRS in targeting non-profit organizations with conservative roots, like the Tea Party, for extra scrutiny came at around the same time that General Motors and Chrysler were being guided through bankruptcy processes by the Treasury Department. Obama's Auto Task Force required that GM and Chrysler close about 2,000 dealerships as part of the restructuring. This job-killing decision came at the same time that the Administration boasted about all the jobs that would be saved by bailing out the industry. The dealership jobs lost were primarily non-union compared to the politically-favored UAW jobs that were to be saved.

Critics at the time questioned the criteria used to close dealers as many claimed that shuttered dealerships were targeted because of their Republican affiliations. What seemed at the time to be an unlikely conspiracy theory now does not seem so far-fetched given the fact that Treasury was targeting non-profit groups based on political affiliations at around the same time. It is enough of a concern that Kelly and Renacci are seeking further documentation.

Both Kelly and Renacci owned dealerships that were on the list for closure. Breitbart.com posted a copy of the letter and reviewed the congressmen's concerns as follows:

The IRS scandal 'raises serious questions about past decisions made by the [Treasury] Department regarding auto dealership closures that occurred in 2008 and 2009,' reads the letter. 'We formally request that the Treasury Department provide all e-mails, phone records, notes, memoranda, reports, and other communications regarding the decision-making process for dealership closures from the Automotive Task Force headed by Car Czars Steve Rattner and Ron Bloom.'

The letter also notes that while the Automotive Task Force claimed to have objectively evaluated each dealership, a Special Inspector General Report found that there was 'little or no documentation' that proves objective criteria were used.

'At the heart of this request,' the letter concludes, 'is the obligation we have to the American people to ensure that political profiling has not been a systemic issue within this administration.'

The original concerns regarding possible targeting of Republican-owned dealerships were spelled out back in May of 2009 by the Washington Examiner. That piece pointed out that some dealerships were targeted for closures that were "competitors to a dealership chain partially owned by former Clinton White House chief of staff Mack McLarty." Also noted was the fact that only one of the many Chrysler dealerships slated for closure were found to be contributors to the Obama campaign in 2008. The past accusations that dealerships could possibly have been targeted for their political affiliation no longer seems to be as absurd an idea given the IRS's current scandal.

Congressmen Kelly and Renacci are rightfully asking the hard questions about the politically-biased auto bailout process that many others want to bury in the past. It is hard for politicians to dredge up criticism for the GM and Chrysler bankruptcy processes, which are widely promoted and perceived as a great success. The truth is that the process saw politically-favored groups benefit at the expense of others and now the question of political profiling is reemerging. As the congressmen conclude in their letter, we should indeed, "ensure that political profiling has not been a systemic issue within this administration." Even if that means questioning what has become a politically-popular auto bailout process.

Mark Modica is an NLPC Associate Fellow.


TOPICS: Business/Economy; Government; Politics
KEYWORDS: bailout; blackkk; cardealers; cardealerstargeted; chrysler; corruption; democrats; gm; impeachnow; irs; irsbrownshirts; irsscandal; kenyanbornmuzzie; michigan; obama; ohio; pennsylvania; treasurydepartment
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To: jazusamo

Obammunism: Crony-Socialism.

The worst form of government there is. All the worst of Crony capitalism, combined with all the worst of socialism


21 posted on 05/28/2013 9:55:13 AM PDT by Mr. K (There are lies, damned lies, statistics, and democrat talking points.)
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To: RummyChick

A blonde female reporter at FOX, I can’t remember her name, was livid because her dad’s dealership that was profitable and had been in existance was being closed.


22 posted on 05/28/2013 9:58:09 AM PDT by Rusty0604
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To: jazusamo

Absolutely!


23 posted on 05/28/2013 9:59:41 AM PDT by onyx (Please Support Free Republic - Donate Monthly! If you want on Sarah Palin's Ping List, Let Me know!)
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To: Rusty0604

Gretchen Carlson.


24 posted on 05/28/2013 10:00:19 AM PDT by onyx (Please Support Free Republic - Donate Monthly! If you want on Sarah Palin's Ping List, Let Me know!)
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To: Uncle Miltie

This and they broke over 100yrs contract law by screwing the bondholders and giving everything to the unions. Guess they taught a lesson to those greedy profiteers that lent money to a company expecting to be paid back.


25 posted on 05/28/2013 10:00:31 AM PDT by Rusty0604
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To: onyx

That’s it, thank you. Wonder if she’s had anything to say since this is resurfacing?


26 posted on 05/28/2013 10:01:40 AM PDT by Rusty0604
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To: Uncle Miltie

I know, but now is in context of other conservative targeting.


27 posted on 05/28/2013 10:02:17 AM PDT by JaguarXKE (1973: Reporters investigate All the President's Men. 2013: Reporters ARE all the President's men)
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To: jazusamo

At this point, the dealers could go back to court with allegations of fraud upon the court and racketeering. The BK judge could reopen the case on his own because fraud upon the court can be corrected by any court, even if the previous proceedings were appealed.

The former dealers and the BK trial judge do not need to go to the appeals court first.


28 posted on 05/28/2013 10:05:22 AM PDT by SeaHawkFan
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To: jazusamo

The GM & Chrysler bailouts were designed and executed primarily as a means of transferring liability for the economically unsustainable UAW retirement benefit contracts from those corporations to the unsustainable public debt of the American People and their government.
In like manner, “investments” in sure-to-fail Green Energy ventures (e.g., Solyndra, et al) were intended and designed to repay Big Buck financiers of Obama/Democrat Party political campaigns. Economic viability was neither expected nor intended. These expenditures, too, were added to the unsustainable public debt.


29 posted on 05/28/2013 10:10:35 AM PDT by Elsiejay
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To: jazusamo

30 posted on 05/28/2013 10:13:31 AM PDT by servo1969
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To: Rusty0604

Not that I’ve heard, but unless I stay up very late,,,, or go to bed very early,,,, I usually miss Fox’n Friends.


31 posted on 05/28/2013 10:18:31 AM PDT by onyx (Please Support Free Republic - Donate Monthly! If you want on Sarah Palin's Ping List, Let Me know!)
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To: jazusamo

Closing those dealerships never made a bit of sense. They were independent businesses. Smelled from the beginning.


32 posted on 05/28/2013 10:21:19 AM PDT by BfloGuy (Don't try to explain yourself to liberals; you're not the jackass-whisperer.)
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To: SeaHawkFan
The judge in the bankruptcy is Judge Gerber and he was supposed to make a ruling on reopening the case because of fraud and misrepresentation in the original case. This decision to reopen was supposed to have been in the last couple months but have been unable to find if he's made that decision as yet.

Article from late March:

http://www.freerepublic.com/focus/f-bloggers/3001689/posts

I would guess the possible targeting of Republican dealerships had nothing to do with this and would have to brought up in a separate case.

Thanks for the info.

33 posted on 05/28/2013 10:23:35 AM PDT by jazusamo ("Mercy to the guilty is cruelty to the innocent." -- Adam Smith)
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To: RummyChick

I hope they can go after any & all Obama groups & him & his lovely wife personally. Zero should not be allowed to live well after trashing people’s lives for political reasons.


34 posted on 05/28/2013 10:25:38 AM PDT by Twotone (Marte Et Clypeo)
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To: BfloGuy

I don’t know if there were political reasons for shutting them down but there weren’t any business reasons for doing so.

One small town dealer here in Texas was shut down in 2009/2010 (Watley Motors) but 6 weeks ago a new Dodge/Ram dealership opened in the same town. When the original dealer’s licence was yanked back then the justification was that there was another major dealer only 20 minutes away in a larger town and they were competing for the same customer base. Well, that major dealer in the larger town down the road is still there but, for some reason, this new dealer was given a new licence to complete for the same customer base.

The dealer I bought my current Dodge from in 2010 had only been open a few months having set up shop in an old G.M. delaership that had been abandoned a few years prior. It has major competition both 20 minutes west and 20 minutes east but seemed to have no problem getting started less than a year after the closings were announced.

Made no sense then, makes none now.


35 posted on 05/28/2013 10:30:04 AM PDT by FAA
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To: onyx

I don’t see it either. Of course, she could have been convinced to shut up.


36 posted on 05/28/2013 10:31:17 AM PDT by Rusty0604
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To: Rusty0604

Oh no.
Gretchen speaks her mind.
I’ll send her an email and ask.
She’s always replied.


37 posted on 05/28/2013 10:33:27 AM PDT by onyx (Please Support Free Republic - Donate Monthly! If you want on Sarah Palin's Ping List, Let Me know!)
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To: Rusty0604; onyx

I’m going to link this article right now to remind myself for tomorrow morning!

As it happens, I have to get up early.


38 posted on 05/28/2013 10:35:18 AM PDT by onyx (Please Support Free Republic - Donate Monthly! If you want on Sarah Palin's Ping List, Let Me know!)
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To: jazusamo

bkmk


39 posted on 05/28/2013 11:05:49 AM PDT by Sergio (An object at rest cannot be stopped! - The Evil Midnight Bomber What Bombs at Midnight)
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To: onyx

Thanks! Let me know?


40 posted on 05/28/2013 11:39:25 AM PDT by Rusty0604
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