U.S. Treasury: Chrysler Financial to liquidate by end of 2011

The United States Treasury Department said yesterday that Chrysler Financial is working to close down by the end of 2011.

“Chrysler Financial is currently following Treasury’s directive to liquidate its business in an orderly fashion,” said Kenneth Feinberg, the U.S. Treasury’s czar overseeing pay for top executives at the seven firms that received large government bailouts. “Chrysler Financial is currently pursuing a successful wind down of its operations by Dec. 31, 2011.”

The Treasury issued a statement saying that the company is still a going concern.

Cerberus Capital Management said that they were unaware of any liquidation orders and that closing their doors isn’t a part of their business plan.

Chrysler Financial and Chrysler Group LLC had no comment.

– By: Omar Rana

Source: Detroit News