Electric Car Maker Sues DOE Over Loan Denial

Discussion in 'Politics' started by pspr, Jan 11, 2013.

  1. pspr


    They claim the federal government wanted to kill their project, and now the folks behind a radical electric car proposal are trying to strengthen their case against the Department of Energy.

    California-based XP Vehicles, which cites Kelly Clarkson's hit tune “Stronger” as its unofficial theme song, and alternative energy company Limnia are jointly suing the government agency and two of its officials, alleging it denied them $55 million in technology loans in favor of giving billions to companies with political ties to the Obama administration, including Tesla and Fisker.


    Cause of Action Executive Director Dan Epstein said his organization became involved in an effort to expose what his clients allege is rampant cronyism in the loan approval process for the Energy Department’s $25 billion Advanced Technology Vehicle Manufacturing (ATVM) program, which was created to support the development of fuel efficient automobiles.

    To this end, the would-be automakers designed a radical, lightweight, energy-efficient vehicle that uses bodywork constructed from a foam-filled, flexible material instead of metal, and runs on electricity provided by a system of exchangeable battery cartridges or hydrogen fuel cells.

    The lawsuits, one filed in the Federal Court of Claims against the Department of Energy and the other filed in the U.S. District Court for the District of Columbia against the department as well as Energy Secretary Steven Chu and ATVP administrator Lachlan Seward, seek $450 million in damages from the Energy Department and $225 million from Secretary Chu and Seward, along with a declaration that the plaintiffs loans were unlawfully denied and an official re-review of their applications.

    Read more: http://www.foxnews.com/leisure/2013...als-disclosing/?intcmp=features#ixzz2HikdS81o
  2. bone

    bone ET Sponsor

    No doubt about it. Rock on.

    Case will probably be heard by a Judge appointed by the Obama administration. Who will not recuse him or herself of course.