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Virginia governor's race may be affected by green tech fallout

Virginia voters may have to consider an extra wrinkle in the state's gubernatorial race, as a green auto manufacturing firm scaled back production plans. Terry McAuliffe is running for governor in Virginia, but the Mississippi auto plant's business formation was followed only by disappointments. McAuliffe was chairman of the firm when it received a donation of 100 acres worth $1.8 million by a Mississippi development foundation, as well as a $3 million loan for site preparation from the state.

McAuliffe was in the hot seat because all that money has produced nothing but a temporary office where the manufacturing plant was supposed to be. In 2009, GreenTech Automotive Inc. promised that automobile construction would begin within three years. Their plan was to make hundreds of thousands of vehicles per year, which would have added jobs and tax revenue to a Mississippi community that needed both.

Years later, however, not only have the promised cars, jobs and revenue not materialized, but the manufacturing plant hasn't even been built. The factory was estimated to cost $2 billion to build, construction that itself would be economically valuable for the area. The plant was still supposed to be built on the site. The lack of construction and the company's scaling back of production targets from 250,000 cars per year to 30,000 per year, however, were facts that candidate Terry McAuliffe will now have to manage.

An attorney experienced in corporate formation may be of service to small business formation in Virginia, including LLC, S-corp and C-corp creation. Such a lawyer may be able to help with a sole proprietorship, partnership or limited liability company by ensuring all needed paperwork is filed correctly and on time.

Source: Huffington Post, "GreenTech Automotive, Electric Car Company, Now Under Federal Investigation After Big Plans", Holbrook Mohr and Mitch Weiss, August 12, 2013