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Bank sues candidate over delinquent loan
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Posted on Nov 08 2005
A congressional candidate is facing a lawsuit before the Superior Court for allegedly not paying his bank loan.
The Bank of Guam filed with the court Monday a civil action against Gonzalo Q. Santos, candidate for Precinct 4 representative.
Santos has ranked third in the race, but his chances of winning the precinct’s second seat remain unclear due to absentee ballots that have yet to be counted.
In a complaint, bank attorney Gregory J. Koebel said Santos obtained a loan in the amount of $20,867.03 on Nov. 25, 2002.
Koebel said Santos failed to make any payment based on his promissory note since Oct. 1, 2004.
On Oct. 5 this year, Santos allegedly received from the bank a notice of claim over the unpaid loan principal amounting to $14,895.27 plus interests. As of Saturday’s election day, Koebel said the debt had grown to $17,391.74.
The bank attorney accused Santos of breaching his loan contract with BoG and unjustly enriching himself by stopping payment of the loan. He asked the court to compel Santos to pay the bank his loan plus interests and costs incidental to the legal action.
