The 2011 Solyndra Scandal was a fast moving and abrupt process of lay-offs and bankruptcy.  Solyndra was a company founded in 2005 that was a major innovator in the production of thin-film solar cells, or solar panels.  Solyndra boasted about being at the forefront of technology with their lightweight, weather-savvy, aerodynamic solar panels that were supposed to be able to convert 12-15% of sunlight into electricity.  However, even Solyndra’s forward thinking couldn’t protect them from scandal.

Solyndra’s “cylinders, one inch in diameter, is made up of two tubes… the tubes use hermetic sealing technology to exclude moisture… When combined with a white roof… the company claimed that systems that employ the panels on a given rooftop could produce significantly more electricity in a given year.  It was thought that on a white roof, the panels can capture up to 20% more light than a black roof… The other advantage claimed by the company was that the panels did not have to move to track the sun… The Solyndra panels allow wind to blow through them.  According to the company, these factors enable the installation of PV on a broader range of rooftops without anchoring or ballast, which are inherently problematic.  Solyndra claimed that wind and snow loads are negligible and that its panels are lighter in weight per area.”  This goes to show Solyndra’s innovate technology in the effort for green energy.  Using cylindrical tubes that allow the wind to pass through makes more a much more efficient solar panel.  Also, since they are thinner panel, scientists noted that they work better packed closer together, which minimizes wasted space in the surrounding area.

However, on August 31, 2011, Solyndra officials announced that they were filing for Chapter 11 Bankruptcy, and would subsequently be laying off all 1,100 employees, and ceasing production and manufacturing.  Looking back, according to the Washington Post,  in March of 2010, auditors began to raise concerns about Solyndra’s budgeting and whether or not they were going to be able to continue operating.  Very quickly, in December of 2010, executives realized that Solyndra was essentially out of money, and in January of 2011, the CEO’s speak with the Obama administration about how they are on the verge of bankruptcy.  The DOE, noticing Solyndra’s financial crisis, gives them $75 million towards refinancing the company in hopes of keeping them afloat.  However, in August of 2011, Solyndra shuts down despite of the government refinance money.

Because of this abrupt closure of the company, the FBI and the Department of the Treasury launched an investigation in September of 2011.  The FBI looked into Brian Harrison, CEO, and Chris Gronet, Solyndra’s founder to look for accounting fraud.  After that ordeal, a judge found both men not guilty of fraud, and Solyndra remains out of business.

Sources:

http://en.wikipedia.org/wiki/Solyndra

http://www.washingtonpost.com/wp-srv/special/politics/solyndra-scandal-timeline/

http://abcnews.go.com/blogs/politics/2012/07/obama-fundraises-with-players-in-solyndra-scandal/