Friday, October 14, 2011

WSJ Discovers a New Twist in the Developing Solydra Scandal

The Wall Street Journal has uncovered another wrinkle in the scandal surrounding the bankrupt solar company Solyndra. A major investor in Solyndra sought a lucrative contract with the United States Navy while sitting on a Pentagon panel that helps to promote new technologies within the government.

Solyndra was promoted to the Navy by RockPort Capital, one of the firm's largest investors and board members, which has a seat on a Pentagon panel that helps the government find emerging technologies.

RockPort recommended Solyndra to the military, along with four other companies. In the end, the negotiations for Solyndra's inclusion in a $1 million pilot program fell apart when the Navy learned about the company's pending bankruptcy filing.

The role of RockPort Capital is a new twist in the Solyndra tale, which has focused largely on whether another Solyndra investor, the family foundation of billionaire George Kaiser, helped the firm secure a $535 million loan guarantee from the Department of Energy. There is no evidence linking the loan guarantee to Mr. Kaiser, who was a significant donor to President Barack Obama's 2008 campaign.

Oh, well the Navy learned that Solyndra was in financial trouble. Perhaps it's not that big a deal after all. It's not like an investor in Solyndra that sat on the Pentagon panel intentionally hid that information or anything.

The Department of Energy has said it gave Solyndra the loan guarantee after careful review by its staff.

Mr. Kopczynski said RockPort disclosed its $47.5 million investment in Solyndra to the Pentagon panel, though it didn't disclose that Solyndra was in financial trouble and said it wasn't required to under the panel's rules. Gaining the Navy as a customer could have helped Solyndra's shaky financial state, and by extension RockPort's $47.5 million investment in the Fremont, Calif., firm. The FBI is investigating whether Solyndra misled the U.S. government in obtaining its 2009 loan guarantee.

I suppose the silver lining is that the White House wasn't involved in any of this.

Emails released in connection with a congressional probe show that David Prend, RockPort's co-founder and a Solyndra board member, met with Carol Browner, a top White House official, while the company's initial loan application was pending. A person familiar with the matter said Ms. Browner met with a handful of people, including Mr. Prend, to discuss energy policy and climate change. Mr. Prend brought up Solyndra in passing, this person said. Mr. Prend didn't respond to requests for comment.
Remember, this is only one of the solar companies to receive government loans under questionable circumstances and affiliations. It will get worse.


John Scotus said...

"Green" businesses advertize themselves as the ethical alternative, but now it is revealed that they are just as prone to corruption as any other business, if not more so. When someone always acts holier than thou, it pays to look through their dirty laundry. Obama--the most self-righteous individual ever to sit in the Oval Office--must have a lot of dirt he is hiding.

HTyrre said...

<p><span><span>Corruption and cronyism is running rampant in our government and this is yet another example.<span>  </span></span></span>
</p><p><span> </span>
</p><p><span><span>Consider also what just happened in a federal court in Texas.<span>  </span>A Dallas business owner was involved in a civil dispute and paid millions of dollars to lawyers, and when he objected to additional fees after settling the case, they had a “friendly” judge seize all of his possessions, without any notice or hearing, and essentially ordered him under “house arrest” as an involuntary servant to the lawyers. The business owner has been under this "servant" order for 10 months and is prohibited from owning any possessions, prohibited from working, etc..</span></span>
</p><p><span> </span>
</p><p><span><span>...and some quotes from the judge:</span></span>
</p><p><span> </span>
</p><p><span><span>THE COURT: "I'm telling you don't scr-w with me. You are a fool, a fool, a fool, a fool to scr-w with a federal judge, and if you don't understand that, I can make you understand it. I have the force of the Navy, Army, Marines and Navy behind me."</span></span>
</p><p><span> </span>
</p><p><span><span>THE COURT: "You realize that order is an order of the Court. So any failure to comply with that order is contempt, punishable by lots of dollars, punishable by possible jail, death"</span></span>
</p><p><span><span><span> </span></span></span>
</p><p><span><span> has an explanation of this case.</span></span></p>