Bacon's Rebellion

Democracy Thrives in Sunlight

GreenTech Auto: Lots of Smoke, Little Fire

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by

Peter Galuszka
in , , , ,

GReenTechBy Peter Galuszka

This year’s bizarre gubernatorial race has had stories beyond belief. There’s Jonnie, Maureen, Todd, Ken and Bob. And there’s also Terry, Xiaolin and Benjamin.

The tantalizing tales of the first group need not be repeated. They, of course, involved tardily disclosed stock holdings, a wife not telling husband about stock buys, big-time and secret real estate loans, Fifth Avenue shopping sprees, the $190,000 car, the Rolex, catered Thanksgiving dinners and so on.

The other involves a more complicated tale of GreenTech autos, a business venture involving Democratic gubernatorial candidate Terry McAuliffe.

The former is actually fairly straightforward. The second one is a lot more complex.

So, we have ABC News to thank for the most detailed perspective yet on GreenTech which seems a mess but not exactly a scandal, no matter how hard Ken Cuccinelli, the GOP gubernatorial candidate tries to spin it.

As the ABC story notes, there was plenty wrong with the predecessor company to GreenTech involving businessmen Xiaolin Wang and Benjamin Yeung who were fighting it out in court over investments before McAuliffe ever got on the scene.

And it isn’t clear what McAuliffe actually did that was so bad, other than lobby to get business executives legal visas. I mean, if you are going to do business with foreign national and it is a global economy, you need visas. Trying to get them can be a pain. But doing so is not exactly a crime. Just ask me. I had to get Soviet visas for people, myself included, for years.

True pain in the butt. And (full disclosure), I have also lobbied to get foreign nationals U.S. visas. It was fully legal. If Ken Cuccinelli wants to make a TV, ad about me, good luck.

On the other hand, owning stock and not disclosing it in a company owned by Jonnie Williams who is the central figure in Giftgate is a horse of a different color, even though Cuccinelli has been cleared of wrong doing. We’re still waiting for word on Bob and Maureen.

As for McAuliffe, I see a lot of smoke and no fire. It seems that if he’s done anything wrong it was that he got mixed up in a bad business deal. But then, writing for Bacon’s Rebellion, while honorable, is a bad business deal. Details on request.

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9 responses to “GreenTech Auto: Lots of Smoke, Little Fire”

  1. James A. Bacon Avatar
    James A. Bacon

    I agree, at this point there does not seem to be a scandal…. yet. Who knows what might turn up as people keep digging. But, still, at this point, no scandal.

    But the GreenTech brouhaha does undercut McAuliffe’s claim to be a savvy businessman who can bring his deal-making talents to Virginia. GreenTech was a fiasco. My nightmare scenario is McAuliffe bringing in all kinds of squirrelly economic development deals to Virginia, and wasting a lot of time and resources like he did with GreenTech.

    1. reed fawell III Avatar
      reed fawell III

      This is important question and concern you raise.

      Is there a fair, objective and serious in depth piece on McAuliffe’s business record by someone with the experience to look in the right places, ask and the right questions, and do the right analysis on the answers. Perhaps such pieces have been written and judgements can be made. I’d be the last to know if there is. But if not, why not? Goodness knows, Romney’s record in business was “vetted”. McAuliffe is not running for president, but he is running for governor on the basis his business record.

      1. reed fawell III Avatar
        reed fawell III

        This is not meant to discount what I have read here on this site. I am talking about a much longer view on his business experience if only to put his GreenTech record in context, and hopefully put the whole campaign in better context.

  2. billsblots Avatar
    billsblots

    I don’t have a lot of knowledge on this issue and am sure your assessment that McAuliffe probably did nothing illegal is correct. But if he has claimed he has/would bring hundreds of jobs to Virginia at a location that remains an open, grassy field, while construction and opening of a facility actually took place in China, that is another misleading promise or misrepresentation that should be thrown on top of a mounting pile of campaign dung-heap for Virginians to consider before the election.

  3. larryg Avatar
    larryg

    I, of course, have a slightly different view!

    And I’ll use Mark Warner as an example.

    How did Mark Warner get rich?

    Was Mark Warner a risk-taking entrepreneur or a rent-seeking, crony capitalist?

    you can argue that both ways…

    but at the end of the day – an entrepreneur is opportunistic ..both the market and govt “incentives”.

    I give credit for that.

    I prefer that over taking money from business interests ..while Governor.

    snark. snark.

  4. larryg Avatar
    larryg

    Oh.. and one of the biggest and smelliest govt/private sector “success” stories in the history of the country –

    was how the transcontinental railroad was built.

    ugly. ugly. ugly.

    but who would deny the ultimate success of the venture?

  5. Breckinridge Avatar
    Breckinridge

    If anybody sees anyone of the caliber of Collis P. Huntington or Mark Hopkins or Leland Stanford or Granville Dodge anywhere in this election, please point them out.

  6. larryg Avatar
    larryg

    Before the Transcontinental Rail road – you had folks like Washington involved in canal infrastructure….

    None other than Harry Byrd ran a toll road.

    I would argue that McDonnell and Cucinelli are not businessmen but “professional” politicians… 2nd rate and right wing at that!

    😉

    Even Mark Warner was guilty of a little rent seeking…. but he did understand, first hand, how business functioned.

  7. DJRippert Avatar
    DJRippert

    I support Terry McAuliffe for governor. In 2009, I supported Bob McDonnell for governor.

    5 points on GreenTech:

    1. Did Greentech promise guaranteed returns?

    I hope not because that promise and those who may have believed it are very stupid.

    2. Did McAuliffe leverage connections in Washington to get the process to move faster?

    Almost certainly.

    3. Should McAuliffe have based his company in Virginia?

    No. Virginia dissed GreenTech. Mississippi embraced it.

    4. Did GreenTech promise US visas to investors?

    Yes, through a 20 year old program that was enthusiastically supported by politicians from both parties.

    5. Is GreenTech a success?

    Not at this point. It is underwhelming.

    Now, hopefully – back to the issues.

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