Regions Bank claims Columbia businessman still owes substantial amount on $1.5 million loan from 2022

COLUMBIA, Mo. (KMIZ)

Regions Bank has filed a lawsuit against a Columbia businessman and several of his companies over the unpaid total remaining on a $1.5 million loan from 2022.

The bank filed the lawsuit on Tuesday in Boone County against Greg DeLine, his trust, DeLine Holdings LLC, GKD Investments, Amega Holdings, JAJ LLC, Kelly Deline and Transco Express Corp. The bank accuses the defendants of breach of loan documents and action on guaranty.

The lawsuit claims a $1.5 million business loan was taken out by DeLine on Dec. 8, 2022. The loan was allegedly not paid at all by the Dec. 8, 2023, maturity date and both sides entered a forbearance agreement shortly after that includes $41,226.79 in interest and $1,066.76 in late fees, court documents say.

The petition claims as of March 11, DeLine still owes the bank $540,000 in the principal amount, along with $9,556.11 in unpaid interest, $2,858.31 in late fees and $10,000 for an extension fee.

DeLine is also facing a federal lawsuit over a fraud case involving loans received from the Paycheck Protection Program in 2022, in which he also went through Regions to obtain. Settlement talks have been in the works.

“While we disagree with claims made in this matter, we have engaged in settlement discussions regarding this one loan with the goal of closing this chapter and moving on,” Regions Bank said in a statement about the federal case. “Regions facilitated over 75,000 Paycheck Protection Program loans, helping small businesses stay open while keeping hard-working Americans employed during the worst of the pandemic. We are proud of our record supporting small businesses, and we are looking to resolve this one individual matter regarding one specific loan from that 75,000 total.”