Solar Firms Face Federal Investigation



A federal investigation of three companies that install solar panels is underway. The companies are accused of overestimating the cost of their work in order to receive more federal money, according to the Washington Post. 

SolarCitySunRun, and Sungevity have received subpoenas from the Treasury Department’s office of inspector general for financial records to justify more than $500 million in federal grants and tax credits the firms tapped for performing work. The probe seeks to determine whether the companies accurately reported the market value of their costs when applying for federal reimbursement, which was calculated at one-third of the costs.

The companies received money through the $13 billion 1603 program run by the Treasury Department using funds from President Barack Obama’s stimulus package.

The companies could be forced to pay back millions if found guilty of exaggerating costs.

SolarCity and SunRun have been generous to Obama: SolarCity donated over $500,000 to the 2008 and 2012 Obama campaigns, according to the Post.