(WTRF)- West Virginia Gov. Jim Justice is personally liable for $700 million in loans his coal companies took out from now-defunct Greensill Capital, according to the WJW
According to WJW Gov. Justice and his wife guaranteed the loans from Greensill to his coal businesses.
Some of the people familiar with the loans said. Mr. Justice’s son and Bluestone’s chief executive, James C. Justice III, guaranteed the loans up to a certain limit, one of the people said, though that figure couldn’t be learned.
All three are listed as plaintiffs in the lawsuit against Greensill.
Borrowers make personal guarantees on business loans to give lenders additional comfort in the case of default.
Greensill, which went bankrupt in March, packaged the loans and sold them to investment funds managed by Credit Suisse Group and now WJW is reporting that Credit Suisse is in talks with Justice’s Bluestone Resources and other major borrowers from Greensill to recoup the money and repay investors.
In a lawsuit Bluestone said it didn’t expect to to begin repaying the Greensill loans until 2023 at the earliest