So much for the valiant Indiana pension fund, bravely standing up for its shareholders against the UAW-Chrysler-Fiat-White House-TARP banks juggernaut. Alas, this is the end of the road. The Supreme Court, after putting a surprise block on the deal last night, has given it a go.
WSJ: The high court pulled back from the issue after granting itself additional time to consider appeals filed by several Indiana pension funds and a coalition of consumer groups. The bulk of Chrysler’s assets can now be transferred to Fiat, which is set to take over the company through a fast-paced bankruptcy process that was brokered by the U.S. and Canadian governments.
In a brief order, the Supreme Court said the pension funds and consumer groups did not satisfy the high bar necessary for the court to block the transaction. “The applicants have not carried that burden,” the high court said. “Our assessment of the stay factors here is based on the record and proceedings in this case alone.”