Luzerne County may be dealing with another business development loan default.
Unified Medical Informatics has missed three monthly payments on its $50,000 loan from the county – prompting the county’s community development office to seek a status report from the company’s lawyer, county Community Development Director Andy Reilly said Monday.
County commissioners had approved the loan in July through a program designed to help start-up companies located in Hazleton and Wilkes-Barre innovation centers.
Unified Medical had promised to provide electronic office systems, software and support for medical offices...
Luzerne County’s community development office is already wrestling with another default of a loan to the former Gelpia’z Restaurant in Kingston. The county hasn’t received payment in a year and is owed $117,870.
It looks to me that these companies couldn't put together a business plan that they could sell to a bank or the capitol markets so they made some promises of "good jobs" because we have a great "work ethic" and got the politicians to back them. There was a reason why the banks wouldn't loan them any money.