Virginia Bank Postpones Auction for Recovery of $300 Million
A Virginia bank, Carter Bank & Trust, has decided to delay the auction of land at West Virginia Governor Jim Justice’s upscale resort in an effort to recoup over $300 million from defaulted business loans linked to the governor’s family. The bank’s initial plans to hold the auction on March 5 have been put on hold, as reported by the Charleston Gazette-Mail.
Legal Battle Unfolds
The Greenbrier County Circuit Court was set to hold a hearing on Tuesday over a request from the Greenbrier Sporting Club to halt the auction through a preliminary injunction. Carter Bank had previously advertised the auction in a legal notice on February 6, sparking concerns among homeowners in the Greenbrier Sporting Club community.
Protecting Jobs and Community
The Greenbrier Sporting Club, a private equity club and residential area, expressed fears that the auction could put thousands of jobs at risk and cause significant harm to both the club and the renowned Greenbrier Resort, known for hosting dignitaries and being a key employer in the county. The club’s complaint sought a jury trial to address the Justice family’s claims against Carter Bank.
Legal Tussle Continues
In response to the auction postponement, Justice companies have taken legal action against Carter Bank, with a federal lawsuit filed last November still pending. Justice, a Republican, and owner of multiple businesses, has faced allegations of delayed payments on fines, including those related to safety violations at his coal mines.
Political Impact
Governor Justice, who is seeking a U.S. Senate seat, has been embroiled in legal battles and financial controversies while navigating his political ambitions. His opponent, Democratic Senator Joe Manchin, has announced he will not seek reelection, setting the stage for a closely watched Senate race in West Virginia.