|
The department does have an exit strategy for the Ally investment, Assistant Secretary for Financial Stability Timothy Massad said in a letter to Romero. Ally had originally planned to make an initial public offering of its stock to assist Treasury's exit, but the plan was postponed in 2011, Massad noted. He said two actions occurred last year that were part of the strategy. Ally's mortgage-lending subsidiary Residential Capital LLC filed for bankruptcy protection and the company sold its international operations to raise cash. After ResCap is restructured in the bankruptcy proceeding and the sales of overseas operations are completed, Treasury will be able to recover its investment through a sale of its Ally stock or additional asset sales, Massad said. He said the actions chosen will depend on market conditions and Ally's progress. In a statement, Detroit-based Ally said the actions it took last year were designed to put the company in a strong position to exit the bailout program and that it has made progress toward the goal. "Ally is highly confident in its ability to repay the remaining U.S. Treasury investment in full," the company said. Romero's report also said her office has uncovered and prevented fraud related to TARP. Investigations by her office to date have resulted in criminal charges against 119 people, including 82 senior company executives, according to the report. Eighty-three people have been convicted. Civil charges have been filed against 58 people.
[Associated
Press;
Copyright 2013 The Associated
Press. All rights reserved. This material may not be published,
broadcast, rewritten or redistributed.
News | Sports | Business | Rural Review | Teaching & Learning | Home and Family | Tourism | Obituaries
Community |
Perspectives
|
Law & Courts |
Leisure Time
|
Spiritual Life |
Health & Fitness |
Teen Scene
Calendar
|
Letters to the Editor