White House promoted failed solar company

10:55 PM, Oct 30, 2012   |    comments
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The House Committee on Oversight and Government Reform is citing administration discussions for a $400 million federal loan guarantee awarded to Longmont-based Abound Solar. 

According to the Denver Post, the White House and administration officials say politics were not a factor in granting the loan guarantees. 

The documents first appeared on CompleteColorado.com, a website operated by the Colorado-based, free-market-oriented Independence Institute. 

The Longmont-based solar panel manufacturer filed for bankruptcy protection this summer and laid off about 125 workers.

9NEWS reporter Kyle Clark asked President Obama about Abound Solar during an interview last Friday.

"These loans that are given out by the Department of Energy for clean energy have created jobs all across the country," President Obama said. "Some of them have failed but the vast majority of them are pushing us forward into a clean energy direction. And that's good for Colorado and good for the country."

President Obama denied that political pressure was applied.

"These are decisions, by the way, that are made by the Department of Energy, they have nothing to do with politics," President Obama said. 

The Weld County district attorney's office said it is investigating Abound Solar for possible securities fraud, consumer fraud and financial misrepresentation.

District Attorney Ken Buck, a Republican, said former employees of Abound Solar were cooperating with the investigation.

"I don't think we were given the information for any political reasons," Buck said. "I certainly don't pursue investigations for political reasons." 

(KUSA-TV © 2012 Multimedia Holdings Corporation with The Associated Press)