Treasury Audit: Solyndra Was a Rush Job

by Daniel Foster

Bloomberg View has the story (emphasis added):

The U.S. Treasury Department was given one day to complete its review of the government’s $535 million loan guarantee to Solyndra LLC, the bankrupt solar-panel manufacturer, to accommodate an Energy Department press release, according to a Treasury audit.

While Treasury staff say they had enough time to review the loan, internal e-mails cast doubt on whether staff suggestions to provide a partial instead of a full guarantee were addressed by the Energy Department, the Treasury’s Inspector General’s Office said today in the report.

“Treasury’s consultative role was not sufficiently defined, the consultation that did occur was rushed and no documentation was retained as to how Treasury’s serious concerns with the loan were addressed,” the audit said.

Solyndra, heralded by President Barack Obama as proof that “the promise of clean energy isn’t just an article of faith,” filed for bankruptcy in September, days before the FBI raided its headquarters in Fremont, California. The company received a $535 million loan guarantee under the Energy Department’s Loan Guarantee Program in September 2009 that was funded by the Treasury’s Federal Financing Bank, a government corporation created by Congress in 1973.

Full thing here.

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