The city and Kaw Valley State Bank — now Farmers State Bank — confidentially settled a lawsuit filed this past summer over several counterfeit checks drawn from a city account.
The settlement, filed with the court days after the Eudora Times reported on the lawsuit, contains no information on the terms of the settlement. City Manager Zack Daniel confirmed the settlement but said the city was unable to comment. Farmers State Bank CEO Matt Engel did not immediately respond to a request for comment Tuesday.
According to the lawsuit, filed in June in Douglas County District Court, multiple counterfeit checks ranging from $2,500 to $50,000 were debited from the city’s account from late July to early September 2024, totaling more than $133,000. After some reimbursements from the bank, the city was still out $76,802 in fraudulently pulled funds.
Read more about the lawsuit in this story.
