WASHINGTON — A group of Democrats are raising concerns as to whether companies that received federal funding for semiconductors used the money to support stock buybacks — and criticizing their own party over how the awards are given.
In a letter to Commerce Secretary Gina Raimondo obtained by CNBC, four lawmakers flagged that BAE Systems commenced a round of buybacks in the same period it will be paid a $35 million award from the CHIPS Act.
The letter, led by Sen. Elizabeth Warren of Massachusetts and signed by Reps. Sean Casten and Bill Foster of Illinois and Pramila Jayapal of Washington also noted that Intel, which has received the largest award to date — $8.5 billion — was approved by its board of directors to repurchase $7.24 billion in stocks.
Intel CEO Pat Gelsinger told Yahoo Finance last year that the company remains “committed to the dividend.”
Raimondo has stated that CHIPS funding is not meant to pad companies’ …