Fisker Flop: Car Company Owes Taxpayers $168 Million

Fisker Flop: Car Company Owes Taxpayers $168 Million

The Obama Administration announced on Tuesday it plans to auction off its remaining $168 million loan to Fisker Automotive–the “near-dead” and “once-glamorous maker of plug-in hybrid cars”–reports USA Today.

Originally, Fisker scored $528 million in taxpayer-backed loan dollars but did not make it far enough to receive the full amount. The failed carmaker received $192 million, of which the Energy Department claims it has recouped $28 million. The Detroit News says Fisker has not built a car in over a year. 

“Early on, Fisker Automotive looked very promising,” wrote Energy Department loan program office executive director Peter W. Davidson on Tuesday. “Despite this setback, our portfolio remains very strong and is playing a crucial role in helping America’s auto industry thrive.” 

Fisker previously said it would create 2,000 jobs in Delaware by the end of 2012. The factory never opened.

The Fisker debacle is all part of the DOE’s crony capitalist green energy slush fund that kicked back 80% of its $20.5 billion loan program to companies owned by or connected to President Barack Obama’s campaign donors, according to Government Accountability Institute President Peter Schweizer in his book, Throw Them All Out.

Fisker was widely touted by Obama backers and celebrities; Al Gore, Matt Damon, Leonardo DiCaprio, and Justin Bieber all own or have owned Fisker Karmas. 

In 2008, then-candidate Barack Obama promised to create 5 million “green jobs” if elected president. An analysis by the Institute for Energy Research (IER), however, found that since 2009, the Department of Energy’s (DOE) loan program created just 2,298 permanent jobs, costing taxpayers $11.45 million per job created.