So when the hedge fund managers refused Obama’s “offer” of 29 cents on the dollar as “payment” of Chrysler’s debt, and instead insisted on exercising their legal rights and demanded 100% payment from Chrysler, Obama threw a fit. Legal rights be damned, the President began accusing the hedge fund managers of being unpatriotic and selfish.
That was two weeks ago. And this past week, managers of two Indiana state pension funds, which were among the roster of Chrysler’s secured creditors, went to court to try to block Barack Obama’s forced “settlement.” The pension funds represent private retirement accounts of school teachers, and police officers, and the manager of one of the funds claimed that Obama’s plan would force the teachers and police officers invested with him to lose $4.6 million.
So let’s be very clear about what’s happening here: teachers and police officers, presumably people of modest economic means, who have assumed the personal responsibility of saving and investing for their individual futures, have invested in certain funds, with the assumption that the money they “put in” to a fund will produce a “return.”
And now, Barack Obama, in defiance of investment law, contract law, and basic accounting practices, is seeking to force these teachers and cops - along with lots of others who in good faith invested in the Chrysler Corporation - to abandon their hope of a “return on investment,” and instead, accept a 70% loss of their savings.
This is to say that, by insisting on their individual, legal right of 100% repayment from Chrysler, these teachers and cops have gotten in the way of Obama’s plans to “transform Chrysler,” and his goal of serving the ‘collective good.”
“That’s an outrageous accusation” the Obama fans will tell me. “Obama wants to help people, not hurt them.”
But individuals who plan for their own retirement and take personal responsibility for their lives can be a problem for a political leader who is intent on saving everybody. And damage wrought to even a few hundred thousand school teachers and cops is a small price to pay, if the “collective good” can be served.
Now that President Obama’s philosophical leanings have been revealed, America needs to know where the rest of the Congress stands. Do the members of Obama’s Democratic Party - the party “in charge” - share in the President’s collectivist vision? Are Pelosi, Reid, and the Democratic leadership willing to cast aside the freedom of the individual person, so one man can fulfill his hopes and aspirations for what he believes America should look like?
Austin Hill is an Author, Consultant, and Host of "Austin Hill's Big World of Small Business," a syndicated talk show about small business ownership and entrepreneurship. He is Co-Author of the new release "The Virtues Of Capitalism: A Moral Case For Free Markets." , Author of "White House Confidential: The Little Book Of Weird Presidential History," and a frequent guest host for Washington, DC's 105.9 WMAL Talk Radio.