To the editor:
The story of Elona Biotechnologies is a classic American success story. Two former Eli Lilly employees living in Johnson County started their own company and invented a way to make generic low-cost insulin.
The city of Greenwood, recognizing the potential for the community and for people everywhere dependent on insulin, contracted with Elona to offer support for expansion. So far so good.
But now I read in the Daily Journal that Elona is in default and the city has had to step in to save it. I have looked within the story for the details and could find only this: “Elona was supposed to start repaying a $6.4 million loan for its new building next year, but the Greenwood Redevelopment Commission declared the company in default last month because of concerns about whether it could stay in business.” (Daily Journal, Feb. 8).
Elona was supposed to start repaying a loan next year. How is this “default?” Are “concerns” grounds for breaking a contract?
I am waiting for answers to these questions.