U.S. Supreme Court Clears Sale of Chrysler Assets to Fiat
Late yesterday, in a two-page order, the U.S. Supreme Court decliend to hear a challenge by three Indiana state funds and consumer groups regarding the sale of Chrysler's assets to Italian automaker Fiat. In the order, the Supreme Court did not address the merits of the challenge by the Indiana funds. Rather, the order simply said that the Indiana funds "have not carried the bruden" of proving that intervention by the Supreme Court was necessary.
In another win for Chrysler on Tuesday, bankruptcy judge Aurthur J. Gonzalez approved Chrysler's request to terminate 789 dealer franchises immediately over the objections by scores of dealers.
As a result of the decisions by the U.S Supreme Court and Judge Gonzalez on Tuesday, there is a clear path for the sale of Chrysler's assets to Fiat and Chrysler is expected to emerge from bankruptcy very soon, possibly as early as today.
