Yea, in short GM is using money from their 52 billion dollar of total "infusion" to pay off their current loan "in full". GM hasn't made a single cent of profit since 2004, and they just posted a loss of almost 5 billion dollars. How can they possibly pay anything off right now? They just need to make few critical steps to qualify for a Bernie Madoff show
Also FTC is looking into this because of the whole "we paid back in full" fiasco.
Quote:
General Motors is running ads on all the major networks this week claiming it has repaid its bailout from the taxpayers "in full." But the claim isn't standing up to scrutiny from lawmakers and government watchdogs who have found that the automaker was able to repay the bailout money only by dipping into a separate pot of bailout funds.
...
"The bottom line seems to be that the TARP loans were 'repaid' with other TARP funds in a Treasury escrow account. The TARP loans were not repaid from money GM is earning selling cars, as GM and the administration have claimed in their speeches, press releases and television commercials," he wrote.
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GM Could Be in Hot Water With FTC Over Truth in Advertising