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Contractors Halt Work, Claim Nonprofit Hasn't Paid
Junior Achievement Expansion On Hold
POSTED: 5:42 pm EDT March 19, 2010
UPDATED: 6:59 pm EDT March 19, 2010
INDIANAPOLIS -- A nonprofit expanding on Indianapolis' north side has come under fire from contractors who claim they haven't been paid.Junior Achievement, an organization aimed at teaching students how to manage their money and become leaders, is expanding its building on North Keystone Avenue to house Ivy Tech's Culinary School.The 25,000-square-foot addition is scheduled to open this fall, but some contractors have pulled out of the project, halting construction, 6News' Kara Kenney reported."We weren't getting paid and we weren't getting answers when we called to ask where payments were," said Brad Pugh, treasurer for Sanjo Steel of Greenwood. "It makes things a little strenuous."The company has 40 tons of steel on its property for the expansion, but said the organization owes $330,000."I guess we'll have to resort to lawsuits and let the chips fall where they may," Pugh said.Representatives for RL Johnson, which did the concrete and excavating work for the project, said they've had to lay off 25 people after Junior Achievement failed to pay $100,000.Pyramid Masonry said it had to lay off 20 people while waiting for more than $200,000.Tax records obtained by 6News show Junior Achievement's expenses outweigh its revenue. The organization takes in about $2.6 million, but its expenses run about $3 million.Kenney tried to track down Junior Achievement CEO Jennifer Burk on Friday, but she did not return calls and e-mails.A representative from the accounting department talked to Kenney, but said she couldn't make an official statement."I'm sure you can understand we're trying to figure everything out right now," said Heidi Anderson. "Jennifer (Burk) is the only spokesperson for JA, so I can't discuss anything."An Ivy Tech spokesperson said they're leasing the new culinary school from the Experiential Learning Foundation, which owns the building.The chairman of the foundation did not return calls for comment on Friday.Junior Achievement is currently being sued by a former vice president who said he was unfairly fired after his salary was cut by 12 percent.More Information: Junior Achievement's Most Recent Tax Return
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