Attorney General Edwin Meese said hesaw some benefit in the proposed purchase of American Motors Co
&lt;AMO> By Chrysler Corp &lt;C> in that it would return the smallest
of the U.S. auto manufacturers to American hands.
    Meese told the House Appropriations Subcommittee that
consideration would be part of the Justice Department's review
of the proposed merger. He said the agency has not yet received
a formal notice of the merger which would start the review
process.
   Chrysler has made a 1.3 billion dlr bid to buy AMC from its
French parent Renault.
    "I think one of the things that has to be recognized in that
merger is that it appears, at least, that a good portion of the
ownership of American Motors, which has been in overseas hands
will be put back in American hands," Meese told the
subcommittee.
    "That may be one of the factors that would be weighed in the
judgment," he added.
    Renault currently holds about 46 pct of AMC.
 Reuter
