Kunkel Group denies fraud allegation in City of Evansville l - Tri-State News, Weather & Sports

Kunkel Group denies fraud allegations in City of Evansville lawsuit

The Meridian Plaza/(Source: www.realtor.com The Meridian Plaza/(Source: www.realtor.com

The Kunkel Group is addressing a lawsuit filed Wednesday by the City of Evansville.

The lawsuit alleges that the Kunkel's haven't paid back $460,000 in loans to help develop a property now known as "Meridian Plaza" located on Main Street downtown.

The City says the lawsuit is meant to gain payment, plus interest, for the outstanding loans.

In a statement released Thursday, the Kunkel's say they knew their loan was coming due and did reach out to the Redevelopment Commission to discuss a plan to renew the loan.

With the filing the of the lawsuit, the developers say their efforts will go toward move getting funding or financing to pay off the loan balance.

The Kunkel's statement also addresses allegations of fraud made by the city.  

It says the Kunkel Group, "unequivocally denies these allegations." 

The Kunkel's say the allegations of fraud are based upon legal documents that were prepared in their entirety by the city.

They say, in the nearly eight years since the loans were issued, the city has never raised any concerns.

You can also read the full statement from the Kunkel's here.

Related Story

The City of Evansville files suit against the Kunkel Group

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