A state district judge has ruled that a long-forgotten bank account held in Texland Electric Cooperative’s name belongs entirely to the venture formed by Pedernales Electric Cooperative and Bluebonnet Electric Cooperative in the 1980s as a joint effort to build coal-fired generation plants.
The plan was abandoned after the Public Utility Commission denied licensing but the discovery in 2008 of an account with $565,350.62 at Cattleman’s National Bank spurred legal tussle over who had claim to the funds. Pedernales and Bluebonnet reformed Texland’s board to pursue disbursement of the account back to the cooperatives.
Cattleman’s Bank protested Texland’s claims to the funds setting off litigation This week, 424th District Judge Dan Mills ruled that the funds belong to Texland.
“We have acted in the best interests of the membership and PEC in pursuing the recovery of these funds,” said Texland treasurer and PEC District 7 Director Dr. Patrick Cox in a written statement. “Once the 30-day period for appeal has passed, the Texland board will be able to convene, properly disburse the funds to PEC and take other necessary actions to permanently dissolve this ill-fated venture.”Email | Print