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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowTipton County filed a $14.1 million claim against Getrag Transmission LLC yesterday in the U.S. Bankruptcy Court for the Eastern District of Michigan, the Kokomo Tribune reported.
The claim covers all costs incurred by the county in regard to the canceled construction of a transmission plant, Michael McCrory, an Indianapolis attorney representing Tipton County, told the newspaper.
Getrag halted construction of the $530 million, 900,000-square-foot plant in October after Chrysler LLC pulled out of a financing agreement for the facility, which was designed to produce energy-saving dual-clutch transmissions for Chrysler. The plant was about 80-percent completed.
The facility, about 35 miles north of Indianapolis, was expected to create up to 1,400 jobs.
Tipton County’s commissioners said Chrysler sent them a letter Feb. 24 refusing to repay the bonds and money the county had approved for the plant.
Getrag and Chrysler entered into an agreement in 2007 to construct the plant. Last October, Chrysler filed a lawsuit against Getrag Transmission LLC over its inability to secure financing to complete the plant. Getrag filed for bankruptcy protection and canceled the project.
Tipton County’s claim against Getrag, filed Monday, was the 147th claim filed in the bankruptcy case, the Kokomo Tribune said.
Aside from the county’s bond and financing expenditures, the county said that electrical, mechanical and other contractors are owed more than $44 million for their work on the plant.
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