Bank sues former Hawkeye Tim Dwight, accuses him of failing to pay off business loan

A Coralville bank has filed a lawsuit against famed former University of Iowa Hawkeye turned businessman and entrepreneur Tim Dwight accusing him of failing to pay off a $226,100 business loan.

According to the lawsuit filed Wednesday in Johnson County District Court, Coralville-based Liberty Bank F.S.B. loaned Dwight the more than $226,000 on March 26, 2010, evidenced by a business loan agreement.

The loan agreement matured on Sept. 5, 2011, according to the lawsuit, and the entire amount of the loan and all accrued interest became fully due on that September date.

Dwight, according to the lawsuit, “is in default on the loan agreement by failing to make payments when due.” Pursuant the default provisions of the loan agreement, Liberty Bank can accrue interest at a rate of 18 percent, the lawsuit states.

The bank on Feb. 2 demanded Dwight make a full and immediate payment of all amounts due under the loan agreement, according to the lawsuit.

“Despite demand, the defendant failed to pay,” the lawsuit states.

As of April 4, according to the lawsuit, Dwight owes the bank $216,820 in principal, $12,900 in accrued, unpaid interest and interest after that date of $108.41 a day. The bank is asking a judge to order Dwight to pay those amounts plus the cost of the legal action, attorneys fees and other associated costs.

The Gazette couldn’t reach Dwight for comment Friday. An attorney for the bank didn’t comment about the reason for the loan or about the difficulties in getting Dwight to pay it off. An attorney representing Dwight in some of his business ventures didn’t comment on the lawsuit.

Dwight, an Iowa City native and famed Hawkeye football star who went on to play professional football for five football teams including the Atlanta Falcons and San Diego Chargers, now is a businessman and entrepreneur.

Dwight has a stake in numerous businesses and real estate ventures both in and outside Iowa. He owns iPower, a California solar energy company, and he owns a yoga studio in Iowa City.

According to the Secretary of State’s Office, Dwight is the president of 6 Corp, which owns the building on Dubuque Street that houses Hill Mopeds & Scooters .

He also founded the Tim Dwight Foundation, a non-profit organization that helps children and young people and has donated to the University of Iowa Children’s Hospital.

Dwight in May 2011 contributed $50,000 toward the purchase of a new state-of-the-art mobile scoreboard for the UI’s track and field facilities, according to the UI Foundation.

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