MOBILE, Ala. (WKRG) — The Prichard Water Works and Sewer Board will see a new takeover.
Mobile County Judge Michael Youngpeter granted Synovus Banks’ request to place a court-appointed receiver in place after two days of testimony—meaning an outside person will come in and handle the day-to-day financial management of the water board.
This ruling follows after Synovus Bank filed a lawsuit against Prichard Water Works and Sewer Board after they defaulted on their $55 million bond with them.
The lawsuit claimed the board mishandled funds and failed to operate and maintain facilities.
Carletta Davis with the “We Matter Eight Mile Association,” which is a grassroots organization that has pushed for change within Prichard Water testified in court.
According to Davis, Judge Michael Youngpeter will allow her and the other attorneys to discuss the order before it takes effect.
The new order is expected to be prepared and finalized in a week.