| BMO Harris Bank Debtor
Principis Was Told To Pay Collections Account
Now Receiver Mulled
By Matthew
Russell Lee, Patreon
BBC
- Guardian
UK - Honduras
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SDNY COURTHOUSE,
Sept 24 –
In 2017 Bank of
Montreal Harris and First
Horizon lent $55 million to
Principis Capital LCC of
Manhattan and Jersey City. In
2020 Principis stopped paying
and BMO sued.
On September 4
U.S. District Court for the
Southern District of New York
Judge Lorna G. Schofield held
a proceeding. Inner City Press
covered it.
The banks want a
received to be appointed. But
Principis CEO Jane Prokop
says, "We received no warning
before the Notice landed in
our email box late on August
3... Principlis offered in
numerous phone conversations
to provide a reconciliation
for the August 3 minimum
balance shortfall, but BMO's
response was to insist that
$678,709 was simply to be
wired into the Customer's Bank
collection
account."
Judge Schofield
asked for a status letter.
On September 24
Judge Schofield held another
proceeding. Now a receiver is
being mulled. But Judge
Schofield said she would not
order one off the cuff, asking
instead for filings on the
issue.
The case is BMO
Harris Bank N.A. v. Principis
Capital LLC et al, 20-cv-6355
(Schofield)
***
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