Oh Look! Solyndra May Cost Taxpayers Even More!
The fail just keeps on getting stronger with President Obama’s disastrous ‘green energy’ companies. Now it appears that Solyndra may very well cost taxpayers even more than the $535M we already new was flushed down the toilet. From The Examiner:
The cost to taxpayers for the failure of solar panel company Solyndra may be much higher than the $535 million dollar federal loan guarantee the company received. After the company went bankrupt in last August, 2011, the Energy Department, which had given the original loan, okayed an unprecedented deal to attract more private investment to Solyndra. One result of this deal is that it has allowed more than $350 million in tax write-offs to pass to those private creditors, one of which is owned by a major donor to President Obama. The House Oversight Committee now warns the total loss on Solyndra now could be as high as $849 million.
According to its IRS filings, the one remaining major asset that Solyndra has is, ironically, its debt. It has $875-975 million in losses that can be used to write off about $350 million in future tax liabilities. Ordinarily, this would be useless because, of course, Solyndra is bankrupt, but a 2010 deal with the Energy Department allows the debt to pass on to its other creditors. In this case the main ones are Argonaut Ventures I LLC and Madrone Partners LP.
The Examiner article goes on to detail how Argonaut Ventures is connected to… wait for it… a major Obama fundraiser! The hits just keep on coming!