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CDA suing Sablan Enterprises, 4 persons for unpaid $3.01M loan
»Sablan Enterprises’ Tony Muña says they’re negotiating with CDA
The Commonwealth Development Authority is suing Sablan Enterprises Inc. and four persons for allegedly failing to pay loans and interest now amounting to $3,012,309.84.
CDA asked the Superior Court to hold Sablan Enterprises Inc. and co-defendants Tito M. Sablan, Conrad M. Sablan, Vicente M. Sablan, and Maria M. Sablan liable to pay the amount.
CDA counsel F. Matthew Smith stated in the complaint that, as of Jan. 17, 2014, the defendants owe CDA the principal sum of $2.33 million plus accrued interest of $652,010.90, plus penalty charges of $25,847.25 and legal fees of $1,734.01, for a total of $3.01 million, with interest on the principal sum at 4 percent per annum.
Sablan Enterprises Inc. vice president Tony Muña said yesterday that they are in the process of negotiating with CDA to resolve the matter.
CDA asked the court to order the foreclosure of mortgaged property and seize all mortgaged chattels or other security or accounts.
CDA also wants the court to order the sale of the defendants’ mortgaged interest in the real property and all mortgaged chattels and apply the proceeds for payment.
Smith stated that on June 4, 2008, in return for money received, the defendants promised to pay CDA the principal sum of $3.85 million, plus interest at a rate of 7 percent per annum.
In accordance with the agreements, Smith said that Sablan Enterprises agreed to repay the consolidated loans and debt to CDA in set monthly installments, beginning July 5, 2008, and continuing until the loan is paid in full on June 5, 2038.
Smith said the Sablan defendants guaranteed those payments.
By failing, among other things, to pay the monthly installments due and owing to CDA, Smith said the defendants have defaulted on the loan and breached the conditions of the note, loan, mortgage, guaranty, and other agreements.
