City’s $4.35 million remains in the bank

Posted on November 11, 2015

The City of Perry’s $4.35 million that is serving as collateral guarantee on a loan taken out by BioNitrogen, which filed for bankruptcy last week, remains in its bank account and city officials expect it to remain there for the foreseeable future.

City Finance Director Penny Staffney said Tuesday that the city has not been contacted by Community & Southern Bank–which issued the loan–or anyone else regarding the funds since BioNitrogen Holdings Corp. and its affiliates filed for Chapter 11 bankruptcy reorganization on Tuesday, Nov. 3.

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