| Lawsuit seeks to prevent use of MoHELA funds for capital improvements at state universities
Student borrowers have gone to court to stop Gov. Matt Blunt's plan to use $350 million in Missouri college-loan agency funds for college construction and technology projects. A class-action lawsuit filed late Thursday in Jefferson City against the Missouri Higher Education Loan Authority contends that Blunt's plan is an "illegal and misguided scheme to unlawfully divert MoHELA assets." The attorneys representing two student loan holders include John Lichtenegger, a former University of Missouri curator. The lawsuit asks a Cole County judge to bar the loan agency from financing the building plan and declare it illegal. The law authorizing the plan was to take effect Aug. 28. The lawsuit threatens millions of dollars in construction proposals and other improvements at several area colleges, including the University of Missouri-Kansas City.
Prison financing targeted in suit
California's $7.9 billion prison construction package came in for its first legal attack Wednesday when an activist group filed a lawsuit in Sacramento saying the plan's financing mechanism violates the state constitution. In seeking an injunction to block Assembly Bill 900, Taxpayers for Improving Public Safety charged that the state's use of lease-revenue bonds to fund virtually all of the deal is illegal because there is no dedicated stream of money to pay off the obligations. "Lease-revenue bonds must contain a revenue-generating mechanism," group spokesman Matt Gray said at a Capitol press conference. "AB 900 clearly does not. Prisons do not make money. They do not generate money. It's not like a toll bridge (where) the tolls would pay off the bonds." .
Student loan holders sue to block building plan
A lawsuit by student loan recipients seeks to block Gov. Matt Blunt's $350 million plan to finance college construction projects by taking money from the state's student loan authority.
The lawsuit against the Missouri Higher Education Loan Authority claims the agency is violating both its state-mandated mission and its fiduciary duty to students by allowing its money to go to buildings instead of better deals for its borrowers.The lawsuit filed Thursday asks a Cole County judge to issue an injunction barring the loan agency and its board of directors from financing the building plan and to declare it illegal. A law authorizing the deal is set to take effect Aug. 28.The loan agency already has sold off hundreds of millions of dollars worth of loans made to non-Missourians in anticipation of transferring money to the state.
PTC denies GE Capital Leasing's claims
Aug 8 (Reuters) - Software company Parametric Technology Corp. said it found no basis to GE Capital Leasing Corp.'s claims that employees of PTC and its Japanese unit defrauded GE Capital. In a lawsuit, GE Capital claimed that an employee of Toshiba Corp. fraudulently induced it to provide more than $60 million in financing for purchases of third-party products, including PTC software, from 2003 to 2006, PTC said in a statement. (Reporting by Dhanya Skariachan in Bangalore) .
Investools Settles Lawsuit
Online brokerage and investor education service provider Investools Inc. said Monday it has settled a lawsuit brought by Jana Partners LLC. The settlement provides for in-kind services instead of cash. The settlement was reflected in the company's second-quarter financial statements. Jana filed a lawsuit against Investools in June attempting to receive money for providing financing in connection with Investools' merger with thinkorswim Inc. Investools claimed Jana violated the terms of the financing and dropped the company as a partner. .
Liquor store owner files lawsuit against village
Fearing bankruptcy, the owner of Hazel Crest Food and Liquor has filed a lawsuit against the village and a handful of elected officials. The suit, filed last week by store owner Ed Tadros, is against the village, Mayor Robert Donaldson and four trustees. It alleges the recent ordinance banning package liquor sales in a tax increment financing district unfairly harms and singles out his store located at 2014 W. 170th St. The suit also alleges that political favoritism served as a major factor behind the ordinance. "My client made the mistake of supporting people who the mayor didn't like," said Dennis Both, Tadros' attorney. He said "it's no coincidence" that the ordinance came about months after the April election, when the store posted campaign materials for candidates opposing the mayor.
Kuhn sues partner
Downtown Jacksonville developer Cameron Kuhn has filed two lawsuits against a Minnesota investor, claiming the man has failed to meet his fiduciary responsibilities and is conducting a smear campaign to damage his reputation. One of the suits, filed Aug. 6 in the Ninth Judicial Circuit in Orange County against Frank Vennes Jr. and several limited liability companies, states that the plaintiff intended to make "several false allegations concerning the plaintiff's financing of the co-development projects. The defendants intended to make these statements with the malicious intent to harm the plaintiffs within the commercial development community." .
Business Diary
Harbinger Capital Partners commenced its previously announced tender offer to acquire all of the outstanding shares of Oglebay Norton Co. for $31 a share. The New York-based hedge fund's tender offer will expire at midnight Sept. 6 unless it is extended. Harbinger currently owns 18.1 percent of Oglebay Norton's stock. Oglebay has adopted a poison pill to prevent a hostile takeover. The Cleveland minerals company says it is reviewing the Harbinger offer and other alternatives and preparing a recommendation to shareholders. Harbinger said in a statement that if its offer is accepted, Harbinger will elect a slate of directors at Oglebay's annual meeting in September that will explore all alternatives for maximizing share value, "regardless of how they may affect the incumbent board's interests." TECHNOLOGY Spinoff helps firms track lawsuit data Litigation Management Inc., the Mayfield Heights company that manages medical information used during lawsuits, has launched a partner company to offer Web-based technology that allows small and midsized law firms to manage lawsuit-related medical records for themselves.
|
