The Purpose Of Cash For Clunkers?

I have been wondering about something, ever since hubby and I went to get our flu shots, yesterday.

We passed by a large lot of cars and trucks, where there never was a dealership of any kind, and they were having a BIG sale. Lots and lots of people. Well, it turns out that there was an article about it in the morning paper, which I did not read. Hubby enlightened me. And here is where my confusion begins.

I assumed that the Cash For Clunkers program, initiated by the president, would destroy those vehicles and the metals would be melted down to be used for other things, possibly new and greener vehicles.

This sale was of all the clunkers the dealerships around town received and.....they were RESELLING THEM! They are putting them back on the streets, gas guzzlers, poor exhaust systems, tires and all! Oh, they had them washed up and sparkling in the dull sunlight and most did not look like clunkers.......

Is this what is going on across America? If it is, then what was the purpose of Cash For Clunkers? I thought it was not only to rid the streets and the environment of gas guzzling vehicles but to stimulate the American Car Industry. No stipulation was made, evidently, to purchase an American Made vehicle as the largest number of sales went to the Japanese made vehicles.

Well, with this said and off my chest, but not my mind....I need to get busy on some orders that need to be completed and ready to mail....
Have a Happy Sunday!
Jil