The Other McCain

"One should either write ruthlessly what one believes to be the truth, or else shut up." — Arthur Koestler

Solyndra: Pump and Dump

Posted on | September 17, 2011 | 6 Comments

A Wall Street Journal article quotes an investor in Obama’s bankrupt “green energy” boondoggle describing what the half-billion-dollar federal loan guarantee meant: “There was a perceived halo around the loan . . . If we get the loan, then we can definitely go public and cash out.” Ed Lasky at American Thinker explains:

The huge loan would be a selling point in an initial public offering. The company promoters could point out that the loan gave them credibility — that the government had vouched for their viability and prospects.
The private investors would cash out and when the loan came due and the company was unable to pay, taxpayers would be the ones left holding the IOUs.
Take the money and run.

It was a straight-out scam, in other words, with a major Democratic donor as one of the primary beneficiaries. An environmentally-friendly three-card monte game — burning taxpayers instead of burning CO2.

Comments

  • http://twitter.com/_scarymatt_ Matt Lewis

    Honestly, how could it be otherwise?  Hmm, selling a $6 widget for $3.  I guess they were going for volume.

  • Anonymous

    Yes, but can we please invest in Offshore Wind now?  I think I can get my Solyndra money back if I time it right.

  • Pingback: Notes at Bride of Rove()

  • Anonymous

    I’m not sure I can wrap my head around the number of securities fraud laws this violates. And yet the Copperheads call for more.

    As with gun control, the pattern is clear: Copperheads want laws only so they can be selectively enforced against “enemies of the People.”

  • http://profiles.yahoo.com/u/EU5DQWQTTHTPO4A4ZYSL3AAV2U Adjoran

    Every day this scandal gets deeper and worse for Obama, and it is not even really two weeks old yet, is it?

    LightSquared has similar potential – not the huge influx of taxpayer cash, but the regulatory interference to choose winners in private business, favoring a campaign contributor over his competitors and the public be damned.  The hero here was the Congressman who thought to ask the General if anyone had tried to influence his testimony (the LightSquared technology, it turns out, can interfere with military communications and GPS signals:  as Mr. Mackey would say, “And that’s bad, mmmkay?”).

    At the very least, Operation Fast & Furious should prove that every single upper level and southwest regional manager in ATF and DOJ is too incompetent to hold their position.

  • http://thecampofthesaints.org Bob Belvedere

    It would seem that New Order was  prophetic back in 1983.