GM and Chrysler could finally sink Ford

Ford Motor Co. (NYSE: F) could be moving closer to Chapter 11, and it is not because its financial situation has become more critical. The key player here is the federal government, which is reviewing plans to put General Motors (NYSE: GM) and Chrysler into Chapter 11.

According toBloomberg, GM and Chrysler may be forced into bankruptcy by the U.S. government to assure repayment of $17.4 billion in federal bailout loans. So far, the automakers have claimed such a move would destroy them. But government has hired an outside law firm to work on a bankruptcy plan, with the express purpose of getting as much back for the taxpayers as possible.