Obama Takes Aim At Hedge Funds Amid Chrysler Bankruptcy

NEW YORK (Dow Jones)--President Barack Obama's scolding of hedge funds sparked an immediate backlash from fund managers who resent what they see as an increasingly heavy-handed approach from Washington.

Obama, during remarks about Chrysler LLC's bankruptcy filing, said a group of investment firms and hedge funds held out for "an unjustified taxpayer-funded bailout," hoping they could avoid the sacrifices that other stakeholders had made. "I don't stand with those who held out when everybody else is making sacrifices," he said.

The comments, which came after an unnamed administration official went so far as to ...