President Obama fulfilling his dream of being a used car salesman
We only lost $135 million in Obama’s investment in an EV car infrastructure scheme! We could have lost our shirt.
President Obama is trying to force plug-ins on the American public but it’s not working out all that well. The company charged with setting up the infrastructure for all the EV cars is going bankrupt.
Ecotality, an EV Charging company run by Obama fundraiser Dan Kaner, received $135 million in grants from the Department of Energy, most of the money came from the Stimulus.
They won’t be able to finish out the year they said in an SEC filing. They are heading for bankruptcy.
The company has installed about twenty thousand home and commercial charging units. The problem is their business model is a Pyramid scheme. They have to keep getting new units into homes and businesses for vehicles that basically don’t exist yet to make any profit. They have made no profit so far.
Mr. Obama said there would be 1 million plug-in vehicles by 2015. There are about 120,000 on the road. That’s close! He only needs to sell 880,000 over the next year-and-a-half. The buyers might have a problem getting a charging station though.
People who charge their EV cars at home don’t pay for the stations because companies are luring them in with a free station. The companies in turn are heavily subsidized with our tax money.
It’s very hard for a company to make money when they have to give the fuel away for free to attract customers. They were supposedly going to make money selling equipment.
Ecotality was charged with building an electric vehicle charging network for a market of EV drivers that pretty much doesn’t exist anywhere.
And they wonder why they can’t turn a profit.
The DOE finally stopped sending them money and the company can’t seem to find any other
Ecotality was counting on rolling out a new charger to make money for them but the charger isn’t ready for market.
To top it all off, they are under investigation by the SEC.
According to CBS News, the company is “under investigation for insider trading.” Karner has been subpoenaed for all documentation surrounding the public announcement of the first DOE grant to the company.
They also owe $855,000 in back wages and damages for violations of the Fair Standards Act according to the Labor Department.
Ecotality will soon join the ranks of Abound Solar, Solyndra, A123 Systems, Raser Technologies, Nevada Geothermal Power, First Solar, and Beacon Power as failed government ‘investments’ made with taxpayer money at a time when we are borrowing 43 cents on every dollar from communist countries like China.
These failed green energy companies also happen to have been big ‘bundlers’ for Obama’s presidential campaign. I’m sure the grant money and the donations to Obama’s campaign aren’t at all connected [irony here].
Obama even feted the company’s president, Dan Karner, in the first lady’s box during the 2010 State of the Union address to showcase the company as proof that Obama’s investments were paying off. Ecotality was a success story! Just like Solyndra!
Mr. Obama gave an interview on This Week with George Stephanopoulos this past Sunday. He made a point of demeaning Republicans for not wanting to continue making ‘investments.’ He mentioned green energy in particular. On Monday, within hours of the tragedy at the Washington Navy Yard, he railed against the Republicans partly because they are attempting to limit his ‘investments.’
Maybe it’s because his ‘investments’ are really really bad.