Former state Rep. Stephen LaRoque wants back pay from the non-profit he founded – the same federally-funded group that prosecutors contend he stole $300,000 from while serving as its executive director.
LaRoque, a Kinston Republican who resigned from the state legislature in July 2012 following his federal indictment, filed a breach of contract lawsuit in May in Lenoir County Superior Court against the East Carolina Development Company. The non-profit was one of two non-profits LaRoque ran as part of a U.S. Department of Agriculture rural lending program intended to offer low-interest loans to struggling businesses in rural areas.
LaRoque is seeking $58,500 for what he contends is six months of work he was never paid for in 2012 and nearly three months worth of pay and benefits following his termination from the non-profit after his federal indictment, according to the court documents.
“Defendants have willfully breached the Agreement by failing to pay the agreed upon salary, benefits and give 90 days notice of agreement termination [sic] despite multiple requests from Plaintiff,” LaRoque wrote in the lawsuit, which he filed on his own behalf.
Nowhere in his four-page complaint nor in East Carolina Development Company’s brief answer denying any wrongdoing is any mention of the federal charges and controversy.
The lawsuit (see below) has been stayed until after LaRoque’s February criminal trial is over, meaning it won’t move forward until that trial is over, said Mikael Gross, a Raleigh attorney now representing LaRoque in the Lenoir County lawsuit.