[Izzy Dunne]

lenders who make money available to a company in return for a first claim on the company's as-

I beg your pardon?

[Candor7]

Big Obama pay back coming on this issue.

[Vaduz]

Obama when he said last week that he’d override the contractual and legal rights,the obama pattern.

[Jabba the Nutt]

Let’s pray for Judge Gonzalez, that he upholds the Rule of Law.

[Lonesome in Massachussets]

hedge-fund managers pointed out that they have a legal, fiduciary responsibility to do the best they can for their investors

And they can be sued for damages if they do otherwise. If a hedge-fund manager forgoes a million dollars of investor money, he'd better have a good business reason to do so, or he can be personally sued by the investors for every penney of it. And there will be a flood of trial lawyers knocking on the investors' doors. The poor bastard hedge-fund managers must know what it's like to be a banker manager in Venezuela.

Presidente Barack Mugabe's characterization of investors as "speculators" is dispicable and a threat to the rule of law and property rights of all.

[CPOSharky]

If he does as well on Chrysler as he did on WorldCom, the share holders will get about 50 cents per share.

Meanwhile, the lawyers get...

[bert]

.....he knows where they live.....

He should think Eliot Spitzer. Eliot rubbed out Hank Greenburg and was destroyed.

Will Obama be so lucky? Will he actually survive?

[bray]

Corrupt and incompetent is a bad combination for the economy.

Pray for America

[SERKIT]

Will Judge Arthur Gonzalez get a dead fish in the mail from Rahm?

When are the bond-holders (those evil pension funds and Joe-average investors) launch a class-action suit, or at least file for an injunction, to slow this process down to expose it for what it is?

[Wyatt's Torch]

It certainly is. For one thing, the president is counting on some of these "speculators" to partner with the Treasury and take a big stake in the toxic assets that are preventing the big banks from resuming normal lending. Unprotected by a rule of law, these investors will sit on their assets, rather than partner with a government that might some day decide, after the fact, that they made too much money, or should bear a larger portion of any losses than they had signed on to do.

More broadly, if lenders know that any deals they strike can be overturned by a president who, like Langella/Nixon, can do things that are otherwise illegal because he decides "they are in the interest of the nation," they'll raise the price they charge for their money -- and not only when lending to the government.

Anyone who thinks the way the administration is acting will not have an impact on the financial/capital markets is insane. The rule of law is one thing that mitigates some risk for investments. Eliminate that and people will sit on their money and the economy will suffer.

Obamarx is a friggin idiot.