White House Warned About Solyndra

    The Exterior of bankrupt Solyndra is seen in Fremont, Calif., Friday, Sept. 16, 2011. The Obama administration was worried about the financial health of Solyndra, a troubled solar energy company, and the political fallout it could bring even as officials publicly declared the company in good shape, newly released emails show. An email from a White House budget official to a co-worker discussed the likely effect of a default by Solyndra Inc. on Obama's re-election campaign. Solyndra is also under investigation by the FBI.  (AP Photo/Paul Sakuma)

    Paul Sakuma / AP Photo

    Did the White House invest millions in a solar-equipment manufacturer knowing it was on the brink of collapse? Newly revealed emails suggest that the Obama administration was seriously concerned about the stability of Solyndra before investing heavily to help expand it. One of Solyndra’s investors reached out to then-chief economic adviser Larry Summers noting that “one of our solar companies with revenues of less than $100 million (and not yet profitable) received a government loan of $580 million. While that is good for us, I can’t imagine it’s a good way for the government to use taxpayer money.” This email evidence also includes a plea from another venture capitalist and Obama supporter to the president to save himself the negative press and back out of the Solyndra deal. Still, Obama defended the investment today.

    Read it at New York Times