You remember GMAC. Bored by the mundane world of vehicle financing, they plunged into mortgage originations only to get stomped. They've already received $12.5 billion via TARP since December 2008 (because TARP was designed to help auto loans, remember?...or was it the toxic muffler market?), and now Tim Geithner is preparing to offload another $5 billion to the strategically important entity.
Are you kidding me? We can't get $1 billion for updates to air-traffic control infrastructure that relies on 1950s technology, but we got $18 billion for GMAC.
That's $18 billion of borrowed bamboozle straight into the sh*tter, and the toilet won't flush.
Don't miss this one. Blodget offers an alternative GMAC rescue plan.
Video (4:52): Henry Blodget Talks GMAC, Tim Geithner & AIG Payouts At Par
Blodget's AIG-Geithner rail is the best part and begins at the 3 mark.