Deadwood Mountain Grand lawsuits settled
DEADWOOD — A pair of federal lawsuits over an unpaid loan used to build a Deadwood casino and hotel will be dismissed under an agreement reached Tuesday if a settlement is paid this summer.
A limited liability corporation called Tentexkota borrowed $32.5 million in two loans from 65 Chinese investors to build the Deadwood Mountain Grand Hotel, Casino and Event Center. The investors were promised visas and the opportunity to obtain permanent resident status for themselves and their families.
While 64 of the 65 investors did receive visas and gained permanent residency through the EB-5 program, the money was not repaid.
Tentexkota was formed in 2006 and started with an investment of $6 million from its members, as well as a $1.7 million Deadwood Historical Preservation grant. Tentexkota eventually put $10,150,947 into the development, according to court records. It also was promised $550,000 annually for 15 years by the city of Deadwood to operate and promote the event center in addition to the money from the Chinese investors.
Read more: https://www.bhpioneer.com/local_news/deadwood-mountain-grand-lawsuits-settled/article_c798d120-822c-11e9-98cb-e387b3ad77ba.html
(Black Hills Pioneer)
