HARRISBURG, Penn. – A Lackawanna County used-car warranty company and its operators, accused of defrauding thousands of motorists across the country, are the subject of a lawsuit filed by the Attorney General’s Bureau of Consumer Protection. Attorney General Tom Corbett said the civil lawsuit was filed against The Eagle Warranty Corp., 940 Route 6, Scranton/Carbondale … Read More »

Auto lender GMAC Financial Services said Monday it expects to announce a combined fourth-quarter net loss of about $5 billion, hurt by its struggling mortgage division, reported The Associated Press. Detroit-based GMAC said a previously disclosed $3.8 billion pretax charge was the main driver of the anticipated losses, and it had taken steps to sell … Read More »

WASHINGTON – The U.S. Treasury Department has acquired a majority stake in another Detroit company, as taxpayers invested an additional $3.8 billion in GMAC, reported The Detroit News. In all, the government has given GMAC $17.2 billion in bailout money, which included $900 million it gave to GM to invest in GMAC. The Treasury now … Read More »

NEW YORK – GMAC Financial Services has announced a series of actions intended to strengthen the company’s capital base, position it for improved financial performance, minimize further adverse effects on GMAC related to Residential Capital, LLC (ResCap) and improve access to the capital markets over time. Additionally, the actions position GMAC to explore strategic alternatives … Read More »

WASHINGTON – The Treasury Department plans to announce as early Wednesday afternoon that it will give GMAC Inc. around $3.5 billion in additional capital, sources told The Detroit News. Detroit-based GMAC and the Treasury Department have been in talks for months to finalize the amount of money the company would receive. The Treasury Department said … Read More »

Despite exceeding limits imposed by companies that have received government aid, the compensation packages for General Motor’s new chief financial officer and the new head of GMAC were approved by the government pay czar, the Associated Press reported. Chris Liddel, who will leave his job at Microsoft on Dec. 31 to take up his new … Read More »