Wild Ass Rumor Of The Day: PTFOA Explains The "You Can't Refuse" Part

Edward Niedermeyer
by Edward Niedermeyer

We’ve already heard the President call out the “hedge fund holdouts,” and we’ve heard reports of “death threats,” but rumors that the PTFOA’s Steve Rattner threatened to “destroy the reputations” of holdout bondholders is the juiciest rumor we’ve heard over the last several wild-ass days. On Friday, bondholder lawyer Tom Lauria told Detroit talk show host Frank Beckman that the White House was taking off the gloves.

“Let me tell you it’s no fun standing on this side of the fence opposing the President of the United States. In fact, let me just say, people have asked me who I represent. That’s a moving target. I can tell you for sure that I represent one less investor today than I represented yesterday.

“One of my clients was directly threatened by the White House and in essence compelled to withdraw its opposition to the deal under the threat that the full force of the White House Press Corps would destroy its reputation if it continued to fight. That’s how hard it is to stand on this side of the fence.”

He later identified to ABC News the threatener as PTFOA Chair Steve Rattner. The threatenee was reportedly The Perella Weinberg Partners Xerion Fund. Both the White House and Perella Weinberg now deny the story and Perella has fired Lauria.

From the Perella statement:

While we did and still do believe that the lenders would be justified in pressing their objections under conventional bankruptcy law principles, we believe a settlement would now be in the best interests of all parties in the context of avoiding a drawn out contested bankruptcy litigation proceeding, and we encourage our colleagues in the loan syndicate to pursue this immediately.

Edward Niedermeyer
Edward Niedermeyer

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  • U mad scientist U mad scientist on May 05, 2009
    Yeah agenthex, Obama is Stalin. And you're the leader of the brave resistance! For someone who fails at identifying sarcasm, you sure use a lot of it.
  • U mad scientist U mad scientist on May 05, 2009
    with the government telling companies what to do. What do you think first corp charters were? OMG gov controlling what holy ordained companies do. - The notion of someone from the left accusing the right of hyperbole insult after we’ve lived through eight years of slogans that are as philosophically deep as a bumper sticker is rich indeed. So, you didn't see any depth there, but you do here? Perhaps we can compare notes, because I certainly don't see the depth with calling people communist and fascist and in general getting basic facts wrong. If you're going to be against "intervention", you might as well reject the notion of gov in the first place, and we know where that road leads.
  • BDB BDB on May 05, 2009

    "Actually, the government’s actions with the banking and auto industry, like the New Deal, and Wilson’s progressivism, share some ideological affinities with fascism, promoted as a third way between communism and capitalism, with the government telling companies what to do." Oh lord, I've stumbled upon a Jonah "Doughy Pantload" Goldberg fan. We all know you live in a bizzaro universe where FDR caused the great depression, inflation is currently our biggest problem, Bush was Winston Churchill and Jimmy Carter was history's greatest criminal, so you can stop embarrassing yourself now. "The notion of someone from the left accusing the right of hyperbole insult after we’ve lived through eight years of slogans that are as philosophically deep as a bumper sticker is rich indeed." The left didn't go this nuts until about three or four years into Bush's Presidency. You guys have surpassed them in 100 days. "For someone who fails at identifying sarcasm, you sure use a lot of it." I realized you were sarcastic right after I entered to comment. My apologies! I never know on this forum!

  • BDB BDB on May 05, 2009

    Oh, and nobody isn't saying you can't dissent. However, When your dissent is based on two-bit theories of history from political hacks and silly hyperbolic attacks don't be surprised when you're mocked instead of taken seriously.

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