Washington, Feb. 21 (ANI): Republican senators have raised an alarm that U.S. taxpayer money could end up boosting the Chinese economy.
The warning comes following reports that a Chinese firm is leading a pack of companies bidding for a majority stake in government-backed Fisker Automotive.
According to Fox News, the troubled California-based electric car maker, which was backed by U.S. taxpayers of nearly 530 million dollars, for months has been looking for a financial partner.
An international news agency had earlier this week reported that China's Zhejiang Geely Holding Group is favored to take over, though Fisker is also reportedly weighing a bid from another Chinese auto maker.
The development comes after Fisker's main battery supplier, U.S. government-backed A123 Systems, was recently purchased by a separate Chinese firm.
Senators John Thune and Chuck Grassley, both Republicans, voiced concern that Chinese companies are benefiting from U.S. taxpayers' investment, the report added.
Despite the news agency's report, Fisker stressed that the bidding process is still very much open.
In a statement, Fisker spokesman Roger Ormisher said that the company has received detailed proposals from multiple parties in different continents, which are now being evaluated by the company and its advisors.
Fisker has tapped about 200 million dollars of U.S. Government loan to date, while raising roughly one billion dollars from the private sector.
The company has run into daunting financial problems since the original loan, it added. (ANI)
|
|
Comments:
