A judge has ordered South Bend developer Dave Matthews to appear in court next month and explain why he shouldn’t be held in contempt for failing to produce documents in a lawsuit the city has filed against him.
The city says Matthews has not made a good faith effort to document jobs that have been created at his 300 E. LaSalle apartment high-rise. St. Joseph Superior Judge Mark Telloyan this week granted the city’s request to order Matthews to appear at a hearing Aug. 27 and provide “complete and non-evasive responses” or be held in contempt of court.
The city sued Matthews in January 2023, alleging he must repay $5 million in city incentives, plus another $2.5 million in penalties, because he failed to include a ground-floor grocery store in the project. As part of the discovery process, the city nearly two years ago asked Matthews how many jobs had been created as a result of the high-rise’s development.
Instead, the city states in court records that Matthews will only give the city a spreadsheet showing positions and salaries of all people working in his Commerce Center property next door, people who worked there before he built the high-rise. Matthews has defended the response by saying he’s used that same method to periodically report the project’s job creation to the city, and the city administration has voiced no objections.
