The "Wall Street Journal" reports the Treasury Department is likely to inject another $5.6 billion of new capital into GMAC. These billions are on top of the $12.5 billion that GMAC has received since December 2008.
In addition, Treasury officials also are moving to shore up GMAC's ability to fund its daily operations, with the FDIC guaranteeing an additional $2.9 billion in GMAC's debt. The FDIC backed $4.5 billion in GMAC debt earlier this year.
So, GMAC, after its third bailout, will have received (directly and indirectly) $25.5 billion in our money.
By the way, GMAC posted a second-quarter loss of $3.9 billion amid rising loan delinquencies and the continued weakness in the U.S. auto market.
When will this madness stop? And, where in our Constitution does it provide for an infusion of financial capital to the private sector by the U.S. Treasury?
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