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US Department of Energy Seizes $21 Million from Fisker

The US Department of Energy recovered $21 million in cash from struggling electric car manufacturer Fisker Automotive, the agency announced earlier this week.
Fisker Karma 1 photo
"Given the obvious difficulties the company is facing, we are taking strong and appropriate action on behalf of taxpayers," the US Department of Energy said in a statement. However, the Anaheim-based company still owes the government about $171 million from the credit line it received from the Department of Energy back in 2009.

Fisker Automotive stopped building cars last summer and has dismissed about 75 percent of its employees to save cash and avoid bankruptcy. Despite the drastic measures, rumor has it the company will file for Chapter 11. According to Automotive News, a U.S. House panel is scheduled to hold a hearing Wednesday on Fisker and its government financing.

Story via Automotive News


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