The one-sentence order from Justice Ruth Bader Ginsburg that delays the sale of assets to Fiat could just be a matter of the Supremes needing additional time to review briefs. But both the NYT and WSJ are playing up the stay. Three Indiana state funds and several consumer groups are appealing a bankruptcy court ruling that approves the sale. Here's how the Journal put it:
The move, disclosed in a one-sentence order by Justice Ruth Bader Ginsburg, leaves the fate of the auto maker and the Obama administration's historic restructuring of Detroit unsettled for at least one more day.
From the Times:
Under the terms of the deal, Fiat can walk away as soon as June 15, a move that Chrysler executives warned would mean near-certain liquidation. Executives testified in court that despite spending more than a year scouring the globe for someone to buy the company, none save Fiat made an offer. And a lawyer for Chrysler argued in a recent court filing that the carmaker was losing $100 million a day while in bankruptcy.
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. The Indiana funds bought their holdings in July 2008 for 43 cents on the dollar.