The Boston Globe

Business

OneUnited Bank argues that First Episcopal Church, not Charles Street AME, responsible for debt

Lawyers for OneUnited Bank argued in bankruptcy court Tuesday that the Charles Street African Methodist Episcopal Church, the bank’s client, is not the ultimate debtor in the case, and that the First Episcopal District organization is responsible for the church’s debts. Judge Frank Bailey, presiding at the hearing, implied that the bank ought to have known the church’s relationship to its guarantor, saying “I assume in due diligence the bank became aware of this structure.”

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