White House pleased with Chrysler bankruptcy ruling

The White House said on Wednesday that a US court ruling clearing the way for the sale of Chrysler, likely to Fiat, cleared the way for a quick and orderly bankruptcy for the collapsing auto giant.

The White House said on Wednesday that a US court ruling clearing the way for the sale of Chrysler, likely to Fiat, cleared the way for a quick and orderly bankruptcy for the collapsing auto giant. "We're extremely pleased to see last night Judge Arthur Gonzalez approved a prompt sale process for the Chrysler-Fiat alliance," said White House spokesman Robert Gibbs.

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"This development gives us further confidence Chrysler's bankruptcy will be quick and orderly, as the president stated last week," Gibbs said.

Gonzales told a packed federal courtroom in New York on Tuesday that the plan was "a fair and ordinary process," stressing the "urgent need for the sale to be consummated."

Although Fiat now looks on track to rescue Chrysler from collapse, Gonzalez said that other bidders had the opportunity to compete.

Parties have until May 20 to present their offers before the court makes a final decision on May 27.