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Indiana Stands By Chrysler Fight

State's treasurer says he stands by effort to halt Chrysler's bankruptcy proceedings even though losing battle could cost pension and construction funds up to $2 million.

INDIANAPOLIS (AP) -- Indiana Treasurer Richard Mourdock says he stands by his effort to halt Chrysler's bankruptcy proceedings even though the losing battle could cost three state pension and construction funds up to $2 million.

That's more than a third of the $5.6 million the accounts will lose under the bankruptcy deal.

Italy's Fiat closed its purchase of the bulk of Chrysler's assets Wednesday after the U.S. Supreme Court declined to rule on objections to the sale by the Indiana funds. The state claimed the sale unfairly favored Chrysler's unsecured stakeholders over secured debtholders like the funds.

Mourdock says the fight was worth it despite criticism from those who feared a blocked bankruptcy would cost Indiana thousands of auto industry jobs.