Democrat Congressman Emanuel Cleaver Faces Bank of America Personal Lawsuit, But Could Be Bailed Out By Taxpayers

by Evil 1 Posted 2012/04/11 13:06:21

Related Topics: Debt, Democrat, Bank Of America, Car, Bank, Small Business Administration, Lawsuit, Kansas, kansas city star, America, Fee, Principal

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Congressional Black Caucus Chairman Emanuel Cleaver (D-Mo.), who is facing a lawsuit for failing to pay down a 2002 Bank of America loan that he used to buy a car wash in Missouri, could have a good chunk of the $1.5 million he owes paid off by taxpayers.

According to the Kansas City Star, the Small Business Administration (SBA) backed about three-quarters of Cleaver's 2002 loan, which means that if the loan goes bad, the SBA could pay off $1.1 million of that debt.

The suit filed by Bank of America on March 30 indicates that Cleaver has had trouble making payments throughout the life of the loan. According to the bank's filing, Cleaver's loan was for $1.35 million, and he now owes $1.2 million in unpaid principal after 10 years.

But if $240,000 in unpaid interest and nearly $60,000 in late fees and other charges is added, Cleaver now owes more than $1.5 million, more than the original loan value.

Kat 2012/04/13 13:53:34

+1
This has nothing to do with him being in the government, he needs to pay his own personal and business loans or get foreclosed on like anybody else. If we pay this we need to take it out of his salary until it's paid back with interest and fees. Total BS.

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millermedia 2012/04/11 18:08:53

+2
If this guy was a Republican things would be much different for him.

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Evil 1 to millerm... 2012/04/11 20:31:06

+2
He'd be on the front page of every newspaper in the country and the mainstream media would be burying him.

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