Corruption - Hundreds of millions to Solyndra investors

Corrupt Crony Capitalism  -  Bankrupt Solyndra insiders will get hundreds of millions in tax breaks

• Corrupt businessmen dance all the way to the bank with your tax dollars.  All it takes are a few well placed campaign contributions.

Two investment companies stand to receive hundreds of millions of dollars in tax breaks under a bankruptcy exit plan for failed solar company Solyndra, government lawyers say.

Nearly a year to the day after the solar company filed for bankruptcy owing taxpayers more than $500 million, Solyndra is poised to restructure under a deal that government lawyers fear could provide a tax windfall to the investors reports the Washington Times.

The investment companies, Argonaut Ventures and Madrone Capital Partners, may be able to use net operating losses at Solyndra to avoid “hundreds of millions of dollars in future income taxes” unrelated to the solar company, according to a recent court filing by government lawyers.

In addition to earlier financing, both companies provided $75 million to Solyndra last year in a controversial restructuring deal approved by the Department of Energy that allowed the financiers to be paid back before taxpayers in case of a default.

Taxpayers are expected to receive little of the $528 million that Solyndra still owes the government, but DOE officials have defended the restructuring, saying it was the best chance of keeping Solyndra in business.

Argonaut is the investment arm of a family foundation in Oklahoma headed by businessman George Kaiser, who was a fundraiser for then-Sen. Barack Obama’s 2008 presidential campaign.
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(Washington Times)


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