The Utah Technology Finance Corp., a state-created agency that lends taxpayer funds to startup companies, is beset by financial, management and political problems.

The UTFC's troubles emerged Wednesday under tough questioning from a legislative committee that oversees its state budget.Acting Executive Director Duane Blackley acknowledged that the UTFC ran out of money nine months into its fiscal year, that its federal grants are drying up and that it is restructuring.

The UTFC is undergoing an audit by Legislative Auditor General Wayne Welsh.

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