Latest Solyndra Hearing Focuses On Legality Of DOE Loan-Guarantee Restructuring


The U.S. House of Representatives' Subcommittee on Oversight and Investigations plans to hold a hearing today to discuss the 2011 restructuring of a loan guarantee from the U.S. Department of Energy (DOE) to now-bankrupt module manufacturer Solyndra.

The committee says it recently learned that the Treasury Department was concerned that the DOE's restructuring of the Solyndra loan in early 2011 was in violation of the law. The DOE nevertheless allowed Solyndra's investors to be moved to the front of the line for the first $75 million in the event of Solyndra's bankruptcy, according to the committee.

Last week, committee leaders sent a letter to the Treasury Department seeking information and documents about the agency's involvement with the loan and its concerns. Treasury officials are expected to testify at the hearing.

‘For one cabinet-level agency to suggest another is engaged in illegal activity is a startling development, and American taxpayers who are on the hook for the half-billion-dollar Solyndra bust deserve answers,’ said Oversight and Investigations Subcommittee Chairman Cliff Stearns, R-Fla., in a statement.

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