The fund, which had an initial $295 million investment, is used for ensuring the growth of business in Texas.
Sources indicate that since 2003 the Fund has yielded up to $6.3 billion in capital investment in Texas by out-of-state companies [1].
In 2004, authorization was given for the fund to grant $20 million to Countrywide Financial in return for a promise "to create 7,500 new jobs in the state by 2010."
In the fall of 2007, while slashing jobs and with its stock price plummeting, Countrywide was eventually acquired in a fire sale by Bank of America.
But thanks to the "claw-back" provisions in the program, grantees return all funds to the state for jobs not created.