Week in review
Tuesday
Disgraced Metropolitan Mortgage & Securities Co. figure C. Paul Sandifur Jr. will pay about $151,000 to settle allegations that he masterminded fraudulent commercial real estate deals that backfired into an accounting scandal. The collapse of Metropolitan and its group of companies was the biggest corporate failure in Spokane history. Thousands of investors were left holding $470 million in unsecured bonds. Another $131 million in preferred shares were rendered worthless by bankruptcy. Hundreds lost their jobs.
“A new Spokane pharmacy faces a lawsuit from the competitor its founders left to start the business. The owners of ReliantRx LLC, a pharmacy serving long-term care facilities, allegedly used resources and trade secrets of their former employer, Northwest Health Systems Inc., to launch their company, according to a lawsuit Northwest Health filed in Spokane County Superior Court last week.
Thursday
An agreement announced Wednesday by Avista and state regulatory staff scales back a proposed double-digit utility rate increase for the company’s Eastern Washington customers. The deal does allow an increase that will push the average monthly electric bill $6.39 higher to $70.76, and natural gas bills about $1 higher to $84.49 a month.
The rate increases would allow Avista to collect $33.5 million in new revenues, down from the $55 million originally requested in the spring.
“A GreenVolts Inc. solar power system manufactured by a Spokane Valley company and installed at an Avista Utilities test bed for renewable resources is generating energy, GreenVolts announced.
Friday
A Tri-Cities cab company offering exclusive service at Spokane’s airport has left abruptly, forcing officials to bring in an interim cab provider through early 2008. TC Transportation Services won the curbside cab contract in June and was expected to continue service for at least two years. Airport officials could have renewed the contract for two additional years.
“Empire Health Services officials are rebuffing union efforts to force a new buyer to adopt an existing contract, despite verbal assurances they would, organizers said Thursday.
The 1,700 employees of Deaconess Medical Center and other Empire affiliates have been told that they’ll retain their jobs, wages, seniority and some benefits after a pending sale to for-profit giant Community Health Systems Inc. of Franklin, Tenn.