Sioux City appeals order of payments to bank

SIOUX CITY, Iowa (AP) — Sioux City is appealing a judge’s order that it pay $1.2 million on a promissory note guarantee the city made for the developer of a movie theater complex.

The Sioux City Journal reports (http://bit.ly/1f75ErH ) attorney Jeff Wright, who is representing the city, says Sioux City is “challenging the ruling as a whole.”

It could be a year before the Iowa Supreme Court or Court of Appeals makes a ruling.

District Judge John Ackerman ruled in August the city must pay $1.2 million to First National Bank for defaulted payments and $300,000 annually through 2018.

The case stems from the bank’s more than $5.6 million loan to Civic Partners in 2003 to build the $13 million Promenade Cinema 14 movie theater and retail space.

Civic Partners stopped making payments in 2009.

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Information from: Sioux City Journal, http://www.siouxcityjournal.com

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