Obama’s Stimulus Package? We Are Still Paying For Obama’s Cronyism.

America’s Great Recession officially ended a few months after Barack Obama was inaugurated President in 2009. With a Democrat majority in both houses of Congress, he had no problems getting approval for nearly $800 billion to “stimulate” the economy. More than four years later Americans are still waiting to see their economy stimulated. President Obama took the most pride in his “saving” of the auto industry and his investments in “green” technology. Let’s see how his entry into venture capitalism has worked out for those of us who footed the bill.

Saving the Auto Industry

Remember how President Obama, during the 2012 election campaign, bragged that he saved General Motors and Chrysler and said that Mitt Romney would have let them go bankrupt? THEY DID GO BANKRUPT! What Obama did was unilaterally break our nations bankruptcy laws and he personally decided who the winners and losers would be. The winners, of course were his crony union supporters. And, the big losers were the American taxpayers to the tune of several billion dollars. Since America came to the rescue of General Motors, General Motors has rewarded America by investing and sending jobs to China. And, Chrysler, after being saved by Obama with your money, was bought up cheap by Italian car maker Fiat. So Chrysler is no longer an “American” car maker. My good friend at the Spellchek blog did a post recently highlighting how this now foreign company is rewarding America for its largess. Here is a quote he used of Chrysler’s CEO, Sergio Marchionne:

All of this would not be possible without the extraordinary spirit of collaboration we have found in both the federal and state governments…

Does that make you feel all warm and fuzzy? Not so fast. Mr. Marchione’s gratitude was directed at the federal and state governments of Mexico; not the US. Why Mexico? Because that is where Chrysler is going to invest their money:

AUBURN HILLS, MI- Chrysler Group LLC is investing about $1.25 billion in two facilities in Mexico.

Chrysler CEO and chairman Sergio Marchionne confirmed the amount Thursday at the dedication of Chrysler’s new Van Assembly Plant in Saltillo.

About $1.1 billion of the total investment was to construct the new plant, which started producing the Ram ProMaster van in July. The additional $164 million will add a new production line to assemble Tigershark engines at the Saltillo North Engine Plant.

Read more:http://www.mlive.com/auto/index.ssf/2013/10/chrysler_confirms_12_billion_i.htm

I don’t hear President Obama bragging about that. Which reminds me, how many times during Obama’s campaign did he brag about saving Detroit? Hows that working out for you, Mr. President?

Obama’s Green Technology Investments

I will not bore you with the long laundry list of Obama’s green energy and green technology flops. One would be hard pressed to find one that was successful. But, I do want to share with you the latest Obama investment to go south. I’ve only seen this reported in one place, the Inform The Pundits blog. This time it is a company by the name of ECOtality, which received DOE grants of $115 million to, among other things, produce electric car battery chargers and distribute them around the country. The company has gone bankrupt and has been liquidated. The CEO at the time the rants were made was another Obama crony, Johnathon Read. Mr. Read suddenly resigned last year and has disappeared. He is under investigation by the SEC for insider trading. Here is some of what AZ Leader at Inform The Pundits reported:

President Obama has a dream to transform the U.S. economy into a 21st century green energy bonanza. Barack Obama perceives himself as saving the Earth from the ravages of a looming global warming catastrophe.

He’s directed well over $100 billion to the cause. ECOtality got at least $135 million of it.

ECOtality was enlisted to help fulfill a 2008 presidential campaign promise to put a million plug-in hybrid electric cars on the road by 2015.

Jonathon Read, on the other hand, is a political opportunist; a scoundrel.

Read converted a tiny industrial cleaning fluids company into President Obama’s flagship of the electric car charger industry.

He did it through campaign donations to Democratic candidates, lobbying in Washington DC, and schmoozing politicians.

Read wanted to cash in on government green energy contracts. He snagged $143 million in government investments and put millions of those dollars into his own pocket.

Read absconded with $5 million or so for himself.

So, how much was recovered from the liquidation process?

ECOtality was sold in three chunks:

Asset Price Buyer
Blink Network $3.335 million CarCharging Group
eTec Labs $750 thousand Intertek
Minit-Changer $250 thousand Access Control Group
Total =  $4.335 million

$4.335 million was salvaged on court filed estimated debt between $100 and $500 million!!!

All DOE taxpayer money given to ECOtality were grants that don’t have to paid back!!

And, for the 8000 or so owners of Chevy Volts and Nissan Leafs that bought these battery chargers, it appears they will be SOL.

To your humble observer of the asylum we all have to live in, the only thing to be stimulated by Obama’s stimulus spending are the bank accounts of his crony friends.

Well, that’s what I’m thinking. What are your thoughts?

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23 thoughts on “Obama’s Stimulus Package? We Are Still Paying For Obama’s Cronyism.

  1. Again, the NJ senate seat election this past Wednesday, October 16th, was not only a precursor the 2014 and 2016 elections but also a referendum on the American voter who has been suitable insulated from the truth by a corrupt media and an opposition party who cannot get their message out. Joseph Goebbels could take a lesson from the democrats and their propaganda machine.While he spread his poison with the benefit of murder squads today’s left does it using our money to buy out half the population with government benefits. Which is worse, the fear of losing one’s life or losing one’s entitlements?

  2. “To your humble observer of the asylum we all have to live in, the only thing to be stimulated by Obama’s stimulus spending are the bank accounts of his crony friends.”

    Does Barry have crony friends in the gun manufacturing industry? Perhaps even the fracking industry? Ah, the laws of unintended consequences apply even under the rule of a tyrant.

    He may have been able to directly funnel stimulus monies to his true crony friends, however, we may be able to take solace in the fact that some Americans persevere despite his best efforts.

    You may find Ron Arnold’s “Undue Influence” blog useful as it tracks a laundry list of the left and the ‘green’ movement by following the money.

    http://www.undueinfluence.com/

      1. Good point. And the way Democrats “win” of course, is to cheat. If you need an example, just look at Cuyahoga County, OH, 2012. For that matter, look at all of OHIO where voter fraud (voting multiple times with nothing but utility bills as ID, for example) was both widespread and egregious. Imagine that.

  3. This pile of third world (Kenyan by birth) human debris is absolutely bulletproof. He is immune to scandal, violating the constitution, looting the treasury, lying time and again about Obamacare straight faced into the cameras, and so on… The media has his back, corporate America has his back , Wall Street has his back, elite academia has his back, the PC military establishment has his back, the unions workers and non unionized schlubs have his back along with the dependency class. Impeachment? Even just the suggestion of such is tantamount with jumping into a shark tank. We will have Marshall Law before we have an impeachment trial. But then I’m an optimist.

  4. The Leaf and Volt owners didn’t buy the 8,000 home chargers… YOU did.

    They got them free and I believe you (Mr. Taxpayer) also paid for installing them.

    You then gave each owner almost enough money to make the monthly car payment for participating in the EV Project AND a $7,000 tax credit for buying their car.

    Oh… lest I forget… you also gave them a $17/month Internet connection stipend.

    Don’t feel all warm and fuzzy inside knowing you did so much good to help save the earth from global warming?

      1. Jim, There is no friction modifier in the world that will ease our pain. This hump head in chief brings to mind the line from the1976 disco song Disco Lady, paraphrasing: “Move it in move it out shove it in shove it out Discobama”.

  5. This was nothing but a slush fund and a reward to those who backed Obama. This is the same type of cronyism he ran against in 2008 and we will be paying for it for a long time. SO much for being different than all the others who came before him…..

  6. My thinking is that you have fairly well hit the nail on the head. For someone who campaigned against special interests, Obama sure has a lot of them in his back pocket.

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