Republican Indiana congressman Dan Burton wants Treasury Secretary Timothy Geithner to deny Chrysler any more federal loans until it settles a multi-million-dollar dispute with Tipton County.
Tipton, in north central Indiana, wants to recoup funds spent toward a transmission plant that a Chrysler supplier stopped building last year.
County officials this week rejected an offer from Chrysler to relinquish $5.5 million in bonds. They told Chrysler they want the automaker to honor an agreement to cover the county's costs if the plant isn't completed.
Chrysler has said county's difficulties are the supplier's fault.