LUBBOCK, Texas – On Monday, Vista Bank and FirstCapital Bank of Texas released a joint statement concerning a lawsuit tied to the collapse of the Reagor Dykes companies.
The lawsuit was settled out of court and dismissed.
In court records, Vista Bank had said the Reagor Dykes companies were engaged in check kiting involving First Capital Bank of Texas.
Check kiting is a way of making a bank account look like it has money when that’s not the case.
Vista Bank was asking for $6 million in actual damages plus $12 million to punish FirstCapital Bank of Texas for a total demand of $18 million.
The the amount of the settlement was not disclosed.
Below is the statement released to EverythingLubbock.com:
“Vista Bank, FirstCapital Bank of Texas, and Brad Burgess are pleased to have this lawsuit behind them after mediating a mutual and amicable resolution of their dispute.”