Bank threatens to repossess Village of Dolton vehicles due to $76k overdue payment

DOLTON — Financial turmoil continued to unfold in south suburban Dolton Thursday after a bank said the village failed to make a payment worth tens of thousands of dollars, which may result in police cruisers and other public works vehicles being repossessed.

According to a letter dated Feb. 14, 2024, representatives from KS StateBank are threatening to take possession of more than a dozen village vehicles, which includes six police cruisers, after the village failed to make a payment of more than $76,000 on the vehicles’ loan some nine months ago.

Lawyers for KS StateBank said in the letter, that the village and the bank entered into a Government Obligation Contract in May 2019, when the village financed 13 vehicles, for the principal amount of $332,761.50.

“Due to failure to maintain current payments, the Contract is now in default. As of the date of this letter, the amount past due is $76,138.00 with interest accruing thereon,” the letter stated.

According to the letter, repeated attempts to contact the Village of Dolton have been ignored and promises to pay have been broken.

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