Senate committee investigates Moberly deal with China-based manufacturing company
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Senate committee investigates Moberly deal with China-based manufacturing company

Date: September 26, 2011
By: Mariel Seidman-Gati
State Capitol Bureau
Intro: 
With Governor Nixon's China hub bill stalled, the Senate launches an investigation of another China deal.
RunTime:  0:47
OutCue:  SOC

Wrap: The Senate's top leader Rob Mayer announced the Government Accountability Committee's investigation of a deal between the city of Moberly and China-based Mamtek.

The development project was supposed to create more than six hundred new jobs.

But when Mamtek failed to make a payment on nearly 40-million dollars in bonds, it forced the city to dip into its debt service reserve.

Committee chairman Jim Lembke says this shows the legislature it needs to establish more targeted tax credits to prevent this from happening again.

Actuality:  LEMBKE3.WAV
Run Time:  00:08
Description: "The legislature has to take a close look at you know current tax credit programs and any new ones we would establish."

Mamtek is also facing a joint investigation from Moberly's prosecuting attorney and the Missouri attorney general.

In Jefferson City, I'm Mariel Seidman-Gati

Intro: 
A Moberly development deal with China-based Mamtek is facing not one, but two investigations.
RunTime:  0:52
OutCue:  SOC

Wrap: The Senate's Appropriations Committee chair will join the committee that will investigate a Moberly deal with the artificial sweetener company.

Mamtek promised more than six hundred new jobs in Moberly.

But when Mamtek failed to make a payment on nearly 40-million dollars in bonds, it forced the city to dip into its debt service reserve.

The attorney general and the local prosecuting attorney are also investigating the deal.

Moberly's prosecuting attorney is Mike Fusselman.

Actuality:  FUSSELM.WAV
Run Time:  00:12
Description: "You're looking at the types of representations that were made with people to convince them to part with the money to invest in the project and if the representations were accurately stated or if they were misleading."

Meanwhile, state legislative leaders say this scandal has undermined Jay Nixon's proposal for a deal with another China company to create an airport cargo hub in St. Louis. 

In Jefferson City, I'm Mariel Seidman-Gati


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