Lawsuit Alleges Cronyism in Obama Administration Green Energy Loan
A lawsuit recently filed in the United States Court of Claims may shed further light on the corruption of the Obama administrations green energy programs. The lawsuit was filed on behalf of XP Vehicles, Inc. and Limnia, Inc., companies that competed for Department of Energy loans under a Congressionally-authorized program. The owners of XP eventually realized that there was no real competition, and that the whole Department of Energy program was a scam intended to funnel money to Obama and Democratic Party campaign contributors and political allies. They allege in addition that DOE misappropriated proprietary technology that they submitted in connection with their loan applications, and gave that technology to Obama administration cronies.
Are the allegations true? I dont know. They certainly are consistent with what we know about the administrations green energy programs, and there is no doubt about the fact that companies like Tesla and Fisker, which won out in preference to these plaintiffs, were 1) politically connected, and 2) failures in the marketplace. What we can say for sure is that programs of this sort are destined for disaster. There is no reason why the government should be in the business of favoring some private companies over others; if it does so, either the reality or the appearance of political favoritism is inevitable. It is time to drive a stake through the whole enterprise of government involvement in green energy.
Posted by: Beavis 2013-01-11