Did GM really repay your tax dollars as announced?

April 27, 2010

General Motors: “We’re proud to announce: We’ve repaid our government loan. In full. With interest. Five years ahead of the original schedule.”

For Immediate Release
April 22, 2010
Grassley asks about GM repaying TARP loans with other TARP funds

WASHINGTON — Senator Chuck Grassley is asking the Treasury Secretary to justify claims that General Motors has repaid its TARP loans when GM is using other TARP funds to repay the loans.

“It looks like the announcement is really just an elaborate TARP money shuffle,” Grassley said. “The repayment dollars haven’t come from GM selling cars but, instead, from a TARP escrow account at the Treasury Department.”

Grassley said his concern is based upon the most recently quarterly report from the Special Inspector General for TARP. Mr. Neil Barofsky testified before the Finance Committee this week and stated that the funds GM is using to repay its TARP debt are not coming from GM earnings.

Grassley said it’s a matter of the Treasury Department being straightforward with taxpayers about its management of the $700 billion taxpayer funded TARP program. Click here to read Grassley’s letter of inquiry to Secretary Timothy Geithner.

The Special Inspector General for TARP was created at the urging of Grassley and Senator Max Baucus of Montana, and when the Treasury Department changed the focus of the program less than a month after it began, Grassley worked with Senator Claire McCaskill of Missouri to retool the Inspector General’s authority and empower the office to adequately scrutinize TARP spending and management.

Grassley has gone to bat for the Inspector General throughout the year, when the White House and Treasury Department put up barriers to the Inspector General asking questions and collecting information about where the money has gone. Grassley has been an outspoken critic about the lack of transparency with how TARP funds have been used. Last fall, he cosponsored legislation to end the program.


China receives infrastructure contracts in United States

November 30, 2009

Is our media corrupt, lazy or stupid? Last week China Daily announced another infrastructure contract that the largest contractor in China — China State Construction Engineering Corp – won for a Manhattan, New York subway ventilation project worth around $100 million.

Yet, not a hint of this from our US media — short of a reference to “the Wall Street Journal quoted a source as saying”. I have yet to find the WSJ article.

China’s largest contractor, has, in fact, landed three infrastructure orders in the United States this year. A $410-million Hamilton Bridge project and a $1.7-billion entertainment project in the United States will be fulfilled by this Chinese contractor.

China State Construction has signed on as contractor for a high school, a railway station and the Chinese embassy in the US.

According to China’s Ministry of Commerce, overseas project contracts have increased 22.7 percent to $100.15 billion in the first 10 months of this year.

Stimulus money going towards Chinese causes include: International Research Experiences for Students (IRES) U.S.-China Collaboration on Dinosaur Eggs and Education ($141,000 to date); HIV and Related High-risk Behaviors among Commercial Sex Male Clients in China ($90,484); Study of Coseismic Damage and Post-mainshock Healing on the Longmen-Shan Fault Ruptured in the 2008 M8 Wenchuan Earthquake in China ($108,558); Is the Tibetan Plateau Rising? ($327,277); Bioactive Compounds from the Biodiversity of China Vietnam ($400,000); see other entries here and inserting “China” as the keyword.

Is this the kind of bailout you expected with our tax dollars?

Additionally, China’s Suntech plans to build a solar panel assembly plant in the United States now that our government has announced $2.3 billion in tax credits to clean energy equipment manufacturers.

Other articles of interest:
How ClimateGate (global warming) affects YOU
ClimateGate uncovers GoogleGate?