Posted on 02/27/2018 3:34:36 PM PST by Hojczyk
The electric car company founded by former Gov. Terry McAuliffe filed for Chapter 11 bankruptcy this week, blaming in part a wave of negative coverage by a conservative news website for its financial woes.
GreenTech Automotive's bankruptcy petition cites 76 articles by the website Watchdog.org it says "negatively affected governmental, investor and public perception of GreenTech" and prompted investigations by the Securities and Exchange Commission and the Department of Homeland Security.
GreenTech in 2013 sued Watchdog.org, operated by the Franklin Center for Government and Public Integrity, for $85 million. A judge dismissed the case in 2014.
McAuliffe resigned from GreenTech in late 2012 during his run for governor. Early in the campaign, he featured the company prominently as he pitched himself as a deal-making, forward-thinking entrepreneur.
More recently, however, the company has faced a series of lawsuits filed by investors in the company, who have called GreenTech a "scam perpetrated by savvy and politically connected operatives and businessmen" to exploit Chinese immigrants hoping to come to America.
The bankruptcy filing cites a $7.5 million judgment won by 12 investors and says several similar suits are pending.
According to its bankruptcy filing, GreenTech raised $141.5 million from investors between 2009 and 2013 as part of the EB-5 visa program, which offered immigrant investors permanent residency.
GreenTech's filing says all the investors were advised that the investment constituted a risk and that there were no assurances that they would receive permanent residency in the U.S.
GreenTech reported between $100 million and $500 million in liabilities and listed its assets in the same range.
Among its creditors, GreenTech lists debts totaling $4.8 million owed to the state of Mississippi and Tunica County, which offered economic development incentives to the company to entice the car company to locate its manufacturing facility there.
(Excerpt) Read more at roanoke.com ...
Among its creditors, GreenTech lists debts totaling $49.8 million owed in deferred compensation to Gov. McAuliffe and and an identical sum already promised to The Clinton Global Initiative......maybe
Electric cars need to be made for commercial uses involving short, predictable trips. Delivery trucks seem like a good application. Don’t try to make your money selling them to the ordinary consumer.
Or maybe it was the Russians. ;)
27 Feb: WSJ: GreenTech Automotive Files for Bankruptcy
Electric car venture once led by Democratic hopeful Terry McAuliffe runs out of juice
By Becky Yerak
GreenTech, Mr. McAuliffe and Anthony Rodham —Hillary Clinton’s brother, who was the chief executive of a company involved in GreenTech’s EB-5 fundraising—are defendants in an investor lawsuit now pending in Virginia federal court...
The company Mr. Rodham once ran—Gulf Coast Funds Management LLC—also filed for bankruptcy along with GreenTech. A 2015 report by the inspector general for the Department of Homeland Security on abuses in the EB-5 visa program highlighted Gulf Coast as a beneficiary of political favoritism in lining up visas for investors to help fund GreenTech. A lawyer for Mr. Rodhman couldn’t be reached for comment...
https://www.wsj.com/articles/greentech-automotive-files-for-bankruptcy-1519775795
Golf cart platform scam.
First Newsweek, now this. It’s a wonderful day.
This wasn't a failure for Mcauliffe. They never expected to sell any cars. They were just collecting free money from the Obama stimulus and needed a "green" company to do it.
The "car" they were going to sell had no hope of competing in the market:
The specifications of GTA’s MyCar make for an interesting EV... Expected to price for around $15,500 starting, this two seater reportedly has a range of up to 115 miles on a single charge and a top speed of 25 MPH,
I just bought a new econobox for $11,500 plus tax. It's a real car, it goes normal highway speeds with no problem, it carries passengers and people and everything: and this guy was going to sell golf carts for $15,000.
Selling visas through his buddies in the State Dept .... guess those scammed visa purchasers were kind of pissed enough to sue them into bankruptcy.
“The electric car company founded by former Gov. Terry McAuliffe filed for Chapter 11 bankruptcy this week, blaming in part a wave of negative coverage by a conservative news website for its financial woes“
Oh, those wascally conservatives.
Slush slush!
This is the same visa program that the NYC-based Jared Kushner family business might be in trouble with.
In May 2017, Jared's sister was in Shanghai trying to raise millions of dollars of construction loans from Chinese EB-5 investors.
David North of the Center for Immigration Studies recently reported that similar loans to other NYC construction firms were made at huge discounts to the normal market rate.
Were any laws broken by the Kushner family? I have no idea. But I suspect the MSM was sitting on this story a long time before David North broke it.
The design could’ve been sculpted using Lego’s
McAwful skimmed all he could skim and threw the rest away
There needs to be some heads to roll of bodies stood against a wall and shot.
The GOP would be smart to go thru the papers on file to see what McAuliffe was up to.
The company has also had lots of legal problems of its own, being hit by lawsuits filed by investors who called GreenTech a “scam perpetrated by savvy and politically connected operatives and businessmen” to exploit Chinese immigrants hoping to come to America.
The bankruptcy filing cites a $7.5 million judgment won by 12 investors and says other suits are pending.
According to its bankruptcy filing, GreenTech raised $141.5 million from investors between 2009 and 2013 as part of the EB-5 visa program, which offered immigrant investors permanent residency...
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