CHARLESTON, W.Va. (AP) – A coal company owned by West Virginia Gov. Jim Justice is being sued for not paying $1 million in a settlement agreement.
Chapter 11 bankruptcy filings submitted this week by Dennis Ray Johnson II accuse Kentucky Fuel Corp of only paying a portion of a $2 million settlement. The Wednesday filing says the company paid half up front and was supposed to pay the second half in monthly installments of $50,000.
The lawsuit by Peoples Bank says Kentucky Fuel still owes $950,000. The Charleston Gazette-Mail reports the lawsuit stems from a 2014 lawsuit Kentucky Fuel settled in 2015 in which two companies accused it of not upholding a coal transaction.