Under Plan, U.S. Would Name at Least 5 of GM's 13 Board Members
Wednesday, May 27, 2009; 7:16 PM
The government would retain significant control over the restructured General Motors according to an Obama administration plan that would allow officials to name at least five of 13 directors to the company's board, sources said.
Another six members would roll over from the company's existing board. The union's health care trust would name one director to the board.
GM, the nation's largest automaker, is being reorganized under the guidance of the Obama administration, which has lent the company $19.4 billion. While President Obama has said he has no interest in running either GM or Chrysler, he has said his administration has an interest in protecting taxpayers' investment.
"I don't think that we should micromanage," Obama has said. "But I think that like any investor, the American taxpayer has a right to scrutinize what's being proposed and make sure that their money is not just being thrown down the drain."