Gibbs: TARP gave us authority to take over GM

June 4, 2009

Robert Gibbs, the White House press secretary, was asked by CNS News where the U.S. government’s authority to take a 60 percent stake in General Motors came from. ┬áHis answer: “Well, I think the money is based on the Troubled Asset Relief [Program], and is related to money that was approved in the prior administration through that program to deal with, as they had in the past administration, they were dealing with loans to cover–basically to bridge the operating costs.”

Gibbs was then asked if he thought Congress ever contemplated such a use of the TARP dough. His answer: “I can’t speak to what people in Congress believed in terms of their motivations back in September or October when this was being debated.”

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