WHEELING — The Bank of Charles Town is suing Ischia Inc. alleging it defaulted on two loans.
Vittorio Testa of McLean, Va., was also named as a defendant in the suit.
The bank extended two loans to Testa, one with an original principal amount of $2,287,500 and another with a maximum principal amount of $150,000, according to a complaint filed in U.S. District Court for the Northern District of West Virginia.
The first loan is evidenced by a promissory note, a commercial loan agreement, and two subsequent amendments, according to the suit. The second loan is documented by a promissory note, a commercial loan agreement, and several extension letters and agreements.
Ischia provided unconditional guarantees for both loans through specific debt-unlimited guaranties, according to the suit.
To secure the first loan, Testa executed a Refinance Deed of Trust encumbering a property in Washington, D.C. For the second loan, the Trust executed a Commercial Credit Line Deed of Trust on the same property.
Testa, Ischia and the Trust defaulted by failing to provide financial statements and tax returns within specified timelines.
The bank claims the trust also failed to pay over $200,000 in property taxes. A Forbearance Agreement was entered into on Jan. 20, 2023, but the defendants had already defaulted by missing payments and failing to pay additional property taxes.
Consequently, the bank, as per the Forbearance Agreement, is entitled to enforce all rights and remedies available to enforce the terms of both loans.
The bank is seeking damages in the amount of $121,927.95 with pre-judgment interest. It is represented by William L. Hallam and Joshua D. Bradley of Rosenberg Martin Greenberg in Baltimore, Md.
U.S. District Court for the Northern District of West Virginia case number: 3:23-cv-00226
