GMAC still does not have the sufficient funds necessary to convert to a bank. I wonder which you will find more eggregious; the fact that they are permitted to convert to a bank holding co. or the fact that the treasury will come in to provide them the requried funds just to qualify to become a bank inorder to receive even more free money just to stay afloat to support GM.

It is without a doubt a travesty of financial justice and extraordinarily unfair to investors who are being negatively affected by the governments actions.

GMAC says it raised $21.2B in debt swap, but appears to remain shy of reaching capital goal NEW YORK (AP) -- GMAC Financial Services LLC says it raised $21.2 billion in a debt-for-equity swap, but appears to remain shy of its capital-raising goal needed to qualify to become a bank holding company.

The lending arm of General Motors Corp. says it raised $17.5 billion in the exchange offer with noteholders, while its home-loan segment, Residential Capital, raised $3.7 billion.

The announcement comes after GMAC was promised a total of $6 billion in aid from the Treasury Department. That would bring the total amount of cash raised or promised to $27.2 billion -- $2.8 billion shy of the $30 billion needed for the lender to become a bank holding company.

GMAC received the Federal Reserve's approval to become a bank holding company last week, but the approval was contingent on its raising at least $30 billion.