OmniBank has sued the wife of Jackson Mayor Frank Melton, saying the couple defaulted on a $301,967 home-equity line of credit they took out in 2007 on a Jackson home.
The default is due to failure to keep flood insurance on the property, according to the complaint filed Wednesday in federal court in Jackson.
But Melton said Thursday his flood insurance policy expired in December and he renewed it.
“They sue me every time I’m late on something. It’s no big deal,” Melton said Thursday while leaving his federal trial in Jackson in an unrelated matter.
But the bank said in the complaint that it purchased flood insurance on the property to protect its interest at a total cost of $2,961.83. The lawsuit says the Meltons owe for the insurance premium and interest from Jan. 22.
Magnolia Tribune
