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NC House leader, businesses hit with $1.5 million complaint

The filing apparently made its way to WRAL News before Rep. David Lewis, R-Harnett, knew it existed.

Posted Updated
Rep. David Lewis, R-Harnett
By
Travis Fain
, WRAL statehouse reporter
RALEIGH, N.C. — An agricultural supply company sued Rep. David Lewis, his farming company and its partners for more than $1.5 million last week, saying in a Harnett County court filing that it's tried without success to collect a debt.

The filing names Lewis, his brother-in-law Jeffery Strickland and their companies. Both men said they didn't know about the lawsuit until a reporter asked them about it.

Word had traveled fast: The complaint was filed early Thursday afternoon. By late Friday morning, two separate sources had forwarded the the paperwork to WRAL News, and a third had texted to ask about it.

Lewis called the lawsuit unnecessary and said he's been making payments to Nutrien Ag Solutions, where his Cumberland County farm has an open account for seed, fertilizer and other chemicals. Lewis, R-Harnett, said he paid $40,000 toward the debt last week and that he's a personal guarantor in his business' financial arrangement.

"I'm very surprised they've taken this step," he said.

"While there is disagreement as to the amount an entity that I co-own owes, that would have been worked out in the normal course of business and will be worked out and paid," Lewis, a key leader in the House's Republican majority, said.

Nutrien said in its complaint that Lewis, Strickland and their companies owed just over $1 million as of Oct. 31, plus penalties and interest that took the balance up to $1.37 million. Nutrien also wants to add in 15 percent in attorneys fees, as allowed by North Carolina law, putting the total around $1.57 million.

Nutrien's filing includes four letters, all dated Oct. 7, declaring the account in default and threatening legal action if the $1.37 million wasn't paid within 10 days of mailing. The letters are addressed to Lewis' DRL Farms at its business address, to Lewis' home address and to Strickland and JLS Family Farming at their shared address.

Lewis said Friday that he hadn't seen that letter. The complaint said no one responded to it. Lewis said he might have missed a letter to DRL Farms' address during the crush of a recently ended legislative session, but "I can assure you there's not been a damn thing sent to my house."

Nutrien's local attorney in the matter, J.M. Cook of Raleigh, didn't return a pair of phone messages or a pair of emails sent Friday and Monday. Nutrien's vice president for corporate relations didn't immediately return a phone message left Monday afternoon. The company has a U.S. headquarters in Colorado, but it's an international operation, and it's parent company is based in Canada.

Lewis said his arrangement with Nutrien goes back to 2015, which the court record indicates as well. He said it's a standard part of the farming business: Accepting supplies up front and paying after crops come in.

Lewis has acknowledged financial troubles on his farm. He borrowed half a million dollars last year from John Gray, who he described as a friend and fellow farmer. Gray was later indicted by a federal grand jury and accused, along with insurance magnate Greg Lindberg and the former chairman of the North Carolina Republican Party, of trying to bribe North Carolina's insurance commissioner.

Deeds show that Lewis and his wife put up some $1.2 million in property as collateral for that loan, which has not been paid back and which Gray hasn't foreclosed on.

It can be difficult, Lewis said when asked about that loan in early October, for farmers to access capital.

On Friday, Lewis called the Nutrien deal, "a private business and family matter that wouldn't be relevant but for my service to the people of North Carolina." On Monday afternoon, he said he still hadn't been served with the complaint.

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