Joplin sues former master developer for fraud
JOPLIN (AP) - The city of Joplin is suing its former master developer and two men who ran the Texas-based company.
The lawsuit filed Wednesday seeks $1.5 million from Wallace Bajjali Development Partners and accuses the company of fraud.
One of the company's former partners, David Wallace, filed for bankruptcy Tuesday in federal court in Houston.
The city hired the development partners, of Sugar Land, Texas, in 2012 to lead the Joplin's recovery from the 2011 tornado. The city learned in January that the company had closed and that Wallace and Costa Bajjali had resigned.
The Joplin Globe reported that Wallace was unavailable for comment Wednesday.
Peter Edwards, attorney for Joplin, said Wallace's bankruptcy filing might not protect him from Joplin's lawsuit.