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Message: <blockquote data-quote="finnimus" data-source="post: 1356970" data-attributes="member: 12900">GM Paid back the money using TARP funds that act like a line of credit.  While it technically may not be a loan, it's still a line of credit funded by taxpayer dollars. Taxpayers don't care how it's structured or what it's called, they just don't want their money tied up in a failing company.  <a href="http://www.politifact.com/truth-o-meter/statements/2010/apr/27/ed-whitacre/ceo-says-gm-has-repaid-government-loans-full/" target="_blank">http://www.politifact.com/truth-o-meter/statements/2010/apr/27/ed-whitacre/ceo-says-gm-has-repaid-government-loans-full/</a>Excerpt from the article:Aside from the outstanding stock issue, Whitacre's announcement has come under fire from Sen. Chuck Grassley, R-Iowa, who notes that the loans were repaid not with GM earnings (in fact, SEC filings show GM expected to have negative net cash flows in the fourth quarter of 2009) but rather from GM tapping into a multi-billion-dollar TARP-funded escrow account."Therefore, it is unclear how GM and the Administration could have accurately announced yesterday that GM repaid its TARP loans in any meaningful way," Grassley wrote in an April 22, 2010, letter to Geithner. "In reality, it looks like GM merely used one source of TARP funds to repay another. The taxpayers are still on the hook, and whether TARP funds are ultimately recovered depends entirely on the government's ability to sell GM stock in the future. Treasury has merely exchanged a legal right to repayment for an uncertain hope of sharing in the future growth of GM. A debt-for-equity-swap is not a repayment."</blockquote>

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