The half-billion dollar loan to Solyndra Inc. was restructured earlier this year so that private investors moved ahead of taxpayers for repayment on part of the loan in case of a default.
Treasury officials Gary Grippo and Gary Burner told a House committee they had never seen that occur in a federal loan.
This is by far the stinkiest part of the Solyndra debacle, made worse by the private loans coming from major Democratic Party contributor and fundraiser George Kaiser. Some think this may not have even been legal. Republicans will attempt to mightily slime Obama with this, and really, what happened seems mostly indefensible.