Steven Spinner, the Obama fundraiser who arranged the half-billion dollar taxpayer-funded giveaway to Solyndra, was among those in a red carpet, VIP royalty tour of the Democrat National Convention.
When ABC News tried to approach Spinner to ask him about his role in the scandal, Spinner literally ran from the cameras. Democrat Party staffers physically blocked ABC News from following him.
Obama gave the cash to his top campaign fundraisers despite warnings from the Justice Department the loan would fail. Obama then personally changed federal laws requiring taxpayers be reimbursed first when taxpayer funds are loaned, allowing his campaign fundraisers to pocket cash first.
The Obama allies who pocketed that cash are now funneling their taxpayer loot into Obama’s campaign accounts.
Obama administration claims they didn’t green-light the failed Solyndra loan program that funneled half a billion dollars to a top donor, despite warnings from auditors, have been debunked by emails showing Obama was personally briefed on the scheme, The Washington Post reports.
President Obama’s staff arranged for him to be personally briefed last summer on a loan program to help clean-energy companies, two months before the program was thrust into headlines by the collapse of its flagship, the solar company Solyndra, records show.
About the same time, then-White House Chief of Staff William Daley resolved a dispute among administration officials over another project in the program, clearing the way for a $1.4 billion loan, according to documents and sources familiar with the situation.
The documents, a series of e-mails among Energy Department staff members involved in managing the program, provide new details about the level of White House involvement in the controversial initiative. White House officials have said in the past that final decisions about which companies would receive the loan guarantees were made by career staff members at the Energy Department, not political appointees…
…That loan program, a signature piece of the Obama administration’s effort to stimulate the economy, has become a major issue in this year’s presidential campaign. Republicans have charged that the program wasted critical stimulus money meant to create jobs, spending it instead on ill-advised projects that benefited Democratic fundraisers…
…Solyndra, a Silicon Valley start-up that manufactured solar panels, received a half-billion dollar federal loan from the program before suddenly closing last August. A short time later, the FBI raided its offices as part of a criminal investigation into whether the company misled the government about its finances.
The government is expected to recover just $24 million of the $527 million that taxpayers lent the company. Republicans have accused the administration of favoring Solyndra because its largest investors were funds linked to Oklahoma billionaire George Kaiser, an Obama donor.
Obama had been warned Solyndra was about to collapse and was under investigation, but pushed for the half-billion dollar giveaway to his political cronies. Obama then skirted federal laws requiring taxpayers to be paid first in the event of a bankruptcy, allowing several of his donors and top California union bosses to collect loaned money ahead of taxpayers.
The House Energy and Commerce Committee reports the Department of Energy’s decision to move Solyndra’s wealthy investors ahead of taxpayers in the restructuring of the solar company’s $535 million loan guarantee violated the law.
According to the committee’s findings, DOE had already agreed on the terms of the restructuring and the preferential treatment of private investors before conducting a legal analysis of whether its actions were in compliance with the law. DOE’s legal justification hinged on the definition of the word “is.”
As detailed in today’s Washington Examiner:
The House Energy and Commerce Committee released a report today on the Energy Department’s decision to subordinate taxpayers to private investors in the ill-fated Solyndra project. That is, the taxpayers would have to wait in line behind the private investors and let them recoup all of their losses first. Only after that could taxpayers could get any money back – assuming there would be any money to recoup at this point. In this case, that would be a reported $328 million of the $335 million federal loan guarantee to Solyndra.
This is significant because the plain language of the department’s own rules for loan guarantees states that taxpayers must not be subordinate and instead must come first. The committee’s report argues that Energy Department officials made a spur of the moment decision to violate this standard as part of a desperate attempt to keep the company afloat, then scrambled after the fact to justify their action..
…Why did the administration go to such lengths to help these private investors recoup their loses first? Administration officials have argued it was necessary to attract private capital to support the company. But they may have had another motivation. Argonaut is the investment vehicle The George Kaiser Family Foundation. Through it GKFF owned a 35% stake in Solyndra. Despite being called a foundation, GKFF is not a nonprofit in the conventional understanding of the term, but an exotic variation that allows the wealthy to park their assets tax-free. The foundation’s namesake is a major fundraiser of President Obama’s. He was often a guest in the White House and even discussed Solyndra with officials there.
In any event, the Energy Department officials then worked to produce a legal opinion that would justify this decision to put taxpayers behind private investors. That proved difficult because other administration officials at Treasury Department and the Office of Management and Budget were not on board with this.
“Steve Westly, a financier whose money-raising prowess helped to snag him a post on the administration’s energy advisory board, and Matt Rogers, a former Energy Department senior adviser who helped to approve the Solyndra loan, were spotted by reporters at the $35,800-per-person fundraiser for the president’s re-election campaign,” The Washington Times reports this morning.
“Mr. Westly sent warnings to the president not to attend an event at Solyndra’s headquarters in the Bay area because of shaky finances at the solar energy company, which had received a fast-tracked $535 million federal loan guarantee in 2010 as part of the administration’s economic stimulus program. Mr. Rogers was partly responsible for overseeing stimulus awards at the Energy Department.
“They were among about 60 wealthy donors who attended the fundraiser at the swanky home of progressive activist Quinn Delaney and real estate developer Wayne Jordan, a big Obama bundler, in Piedmont, Calif., near Oakland.”
Obama promised the rent-seekers “his re-election would ensure that the government promotes ‘smart regulations … that are going to deal with issues like climate change.’”
And that’s how Green Crony Capitalism works. “Green” speculators, knowing their product is a sham, bankroll the election of candidates who will ensure profits with taxpayer-funded bailouts. Their candidate wins, the candidate votes to shovel taxpayer money into their pockets and then the “green” speculator declares bankruptcy and splits the loot between himself and the “green” politician, which is used to elect even more of them.
It’s a vicious cycle of taxpayer money being laundered through “green” companies to finance the election of leftists who will vote to launder more money. And Obama’s running the laundromat.
The only way to break it is to stop taxpayer financing of the “green” energy proven failure.
Abound Solar, who was approved a $400 million taxpayer-backed loan by Barack Obama, is the latest so-called “green” company to go into bankruptcy despite massive infusions of welfare cash.
“U.S. taxpayers may lose $40 million to $60 million on the loan after Abound’s assets are sold and the bankruptcy proceeding closes, said Energy Department spokesperson Damien LaVera. Abound was awarded $70 million of its $400 million loan by the time bankruptcy was declared.
“Abound was awarded the loan guarantee to build two factories to make thin-film panels using cadmium telluride. It completed one plant, in Longmont, Colorado, and never began construction on the second, which was planned for Tipton, Indiana. The company last received money from the Energy Department in August, before Solyndra’s collapse,” Bloomberg reports.
“The Energy Department has provided almost $35 billion in loans, loan guarantees and conditional commitments to renewable- energy companies. About 35 percent of that is for solar- generating projects…”
Abound joins Solyndra, Beacon Power, Ener1 and Fisker as some of the higher profile “green” companies to fail miserably and lose taxpayers hundreds of millions of dollars despite promises from Obama.
Last April Barack Obama gave away a $2.1 billion taxpayer-backed loan to Solar Trust of America, hailing the company as an example of his energy policy.
Yesterday they declared bankruptcy as yet another Obama-backed “green” company failed, taking taxpayer money down with it.
Solar Trust, which held the rights to the 1,000-megawatt Blythe Solar Power Project in the Southern California desert, began bankruptcy proceedings Monday.
Solar Trust filed for bankruptcy after Solar Millennium AG, another solar company which holds a 70 percent stake in Solar Trust, filed for bankruptcy.
Solar Trust tried to sell those shares to a company named “solarhybrid AG,” but that company also declared bankruptcy.
It’s the latest colossal failure for Obama’s agenda of propping up failing “green” companies with massive giveaways of taxpayer funds.
“Interior Secretary Ken Salazar and California Gov. Jerry Brown were on hand last June when Solar Trust broke ground on a 1,000-megawatt project in California. The project was touted as the world’s largest solar power plant and a keystone of the Obama administration’s efforts to promote solar energy,” the Associated Press reports.
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