An investment firm with which Hunter Biden was prominently involved received $130 million in favorable federal bailout loans while Hunter's father, then-Vice President Joe Biden, was in office, according to the Washington Examiner.
Biden joined the Rosemont financial network in June 2009 when he and Rosemont Capital executives Devon Archer and Chris Heinz incorporated Rosemont Seneca Partners in Delaware.
Just three weeks after Rosemont Seneca Partners was created, the firm began receiving tens of millions of dollars in federal bailout loans.
The loan program was called the Term Asset-Backed Securities Loan Facility. In the program, the Federal Reserve and Treasury Department selected firms or investors who would enter the program by purchasing bonds that banks were having difficulty selling. The bonds included bundled student loans or sub-prime mortgages.
At the time the program launched, it was criticized by some as being prone to corruption because the selection process was not fully transparent. The timing of Rosemont's receipt of loan money — right after Hunter Biden got on board — is notable. From the Examiner:
Three weeks after Rosemont Seneca was incorporated, a subsidiary of Rosemont Capital, called Rosemont TALF SPV, received $23.5 million in federal loans through the TALF program. This included $13.4 million to invest in student loans and $11.1 million to invest in subprime auto loans. Over five months, the company received a total of $130 million from the program in multiple installments for investments in subprime credit cards and residential mortgages.
"This is a great example of the suspicion of many Americans that these bailouts were used to benefit connected insiders while ordinary Americans went broke," said Tom Anderson, director of the Government Integrity Project at the National Legal and Policy Center, an organization that was critical of TALF at the time.
Also, many of the corporations that received TALF loan money routed the profits through the Cayman Islands, a popular tax haven. Rosemont was among those.
"Why would the Fed lend to material investors located in the Cayman Islands?" Sen. Bernie Sanders (I-Vt.) wrote to the Fed in 2010.