Obama, Poster Child for Insanity

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Solyndra: What the President Knew and When He Knew It

by Larry O’Connor
 


Until now the Solyndra scandal only reached the White House in the guise of e-mails from staffers fretting about the political implications of the disastrous bankruptcy and how it would reflect on the President’s “Winning the Future” rhetoric.
Until now, the Solyndra scandal was a circumstantial log of White house visits by a big Obama donor who also was the failed solar company’s chief investor (those visits occurring right before a half-billion dollar loan guarantee was awarded by Obama’s Dept. of Energy).
Until now, the White House’s direct involvement in the Solyndra scandal appeared to be over-zealous operatives looking to speed-up the loan so Vice President Biden could have a nice photo-op at the doomed solar firm.
Now, we know much more.
According to an investigation by the Los Angeles Times, President Obama was warned nearly a year ago that Energy Secretary Stephen Chu’s department was not rigorous enough in vetting loan recipients and they ran the risk of funneling federal money to companies that shouldn’t receive it, or didn’t need it.  And the warnings came from the President’s top economic advisers Lawrence Summers and Timothy Geithner.
 
Summers and Geithner also warned about the overall risks involved in relying so heavily on pumping federal stimulus money into unproven programs and technologies which would not have any lasting positive effect on the moribund economy and the stagnant job picture in America.

The divisions foreshadowed a question that has emerged since Solyndra’s bankruptcy: Was the program’s vetting process thorough enough? The disagreements also spotlighted an issue that has confronted Obama since he took office: What is the appropriate role of the government in stimulating the private marketplace?
Skeptics, noting that taxpayers could now be on the hook for $527 million the federal government loaned Solyndra, said the administration would have been better off making greater use of market incentives, not individual company loan guarantees.
“It was completely predictable that there would be a colossal failure among the bets,” said one person familiar with the internal debate.

The meeting took place in the White House last October.
Now that we know what the President knew, and when he knew it, it’s instructive to look at how his administration reacted to the information provided by the President’s top economic geniuses.  The White House ignored their advice and doubled-down on the risky and fruitless endeavor of “investing” in unproven companies like Solyndra.
Here are the key actions by the White House since hearing the advice from Summers and Geithner about the risks of the President’s policy:

  • Within months of the fateful meeting, the DOE restructured the Solyndra loan allowing the tax-payers to take the back seat to private investors if any money were to be paid back.  This move appears to be unlawful according to Rep. Cliff Stearns of the House Energy Committee.
  • In the President’s State of the Union in January 2011, Mr. Obama lectured lawmakers on the importance of “Winning the Future” and implored them to send our country further into debt by “investing” in more “green technologies” like Solyndra.
  • Just today the Dept. of Energy announced a $737 million loan guarantee for a Nevada solar project in direct contradiction to the Treasury Secretary’s advice.

Yes, now we know what the president knew and when he knew it.  Unfortunately, it appears the president didn’t learn anything from it.
He also lives up to the satirical definition of  insanity:
“Doing the same thing over and over again but expecting a different result.”
Tom in NC

 

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0 responses to “Obama, Poster Child for Insanity

  1. I now believe that the president is on a purposeful course to totally destroy our economy. I don’t think he is misinformed, he has done too many things to destroy job creation and waste tax payer’s money. The gulf coast is being destroyed because he will not follow a court order to allow exploration and drilling. And that is just one example of his destruction…

     
  2. Just in…
    “Survey Says Obama’s Health Care Act Partially Increased Costs for Americans,” Fox News, 29 Sep 2011
    http://www.foxnews.com/politics/2011/09/28/survey-says-obamas-health-care-act-partially-rose-costs-for-americans/
    “Kaiser Family Foundation survey that found it has already partially contributed to increasing health care costs. …helps to shed some light on why so few employers are hiring, as health care costs for employers are spiraling upwards.”

     
  3. I don’t think the Dear Ruler gives a crap about the financial viability of these “green” companies.
    He’s funneling cash to them so that much of it will boomerang in the form of campaign contributions for the 2012 election, as well as to reward his donors and supporters.
    -Dave

     
  4. Dear Blog owner, for some reason none of the WordPress notifications they send on your newwest blogs are showing up in the e-mail. The e-mail page is a grey blank. At least the subject line in my in box is showing up. Thanks goodness for key word box. This is the only way I can find the your newest blogsLinda

     
    • Linda,
      Other readers also have the same problem, but others don’t. Regardless, we of FOTM don’t actually administer or control e-mail subscriptions. It’s WordPress. Steve says switching his browser to Mozilla solved the problem. I’ve been using Mozilla for some time now. Much better than Internet Explorer.

       
  5. Skippy is simply following the script laid out in the Cloward-Piven Strategy, by two Marxist Columbia U. profs.
    http://theobamafile.com/_oddsnends/Cloward-Piven.html

     
  6. huge money laundering scam,early this morning on fox and friends they have linked Pelosi and her husband to this-

     
  7. Remember though, The Nobel Prize was given to Obama not for any accomplishments, but for what he was going to do…hmmm, kinda makes a person wonder, don’t it

     
  8. Ray Stevens rides again…

     
  9. Obama is out of control. I am in Canada and had an American friend say “hey you should be happy we have a left wing president –you should be used to that up there in Canada.” Uh yeah we are “left wing” but Obama makes our left wing look like conservatives. Obama is the epitome of the far left in the West. He says he marches to a beat of a different drum. The thing is he is deaf and doesn’t know it.

     

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