Bankruptcy Trustee May Take Over Solyndra

Bankruptcy trustee Roberta DeAngelis proposes to take over management of solar panel maker Solyndra if its leaders keep pleading Fifth Amendment privilege against self incrimination. The argument is that Solyndra executives must, by law, furnish the details of the bankruptcy. If they continue to invoke the Fifth Amendment, DeAngelis will insist that the court appoint a trustee to serve in their stead. "Management's invocation of the Fifth Amendment does not excuse them from performing their fundamental disclosure and reporting duties under the bankruptcy code," staff trial attorney Jane Leamy wrote for DeAngelis. So now we have a catch 22. If the executives continue to hide behind the Fifth Amendment DeAngelis will ask the court to appoint an outside trustee to preside over the liquidation of Solyndra instead of the reorganization under chapter 11 Solyndra had proposed.