LDK Solar Sued by Shanghai Rural for Overdue Loans, Daily Says

LDK Solar Co. (LDK), the second-biggest maker of solar wafers, was sued by Shanghai Rural Commercial Bank for overdue loans worth 100 million yuan ($16 million), the website of the Economic Information Daily reported.

The two parties weren’t able to resolve a dispute before a court hearing on Nov. 21, the newspaper said, citing LDK Solar’s Chief Executive Officer Tong Xingxue. The report didn’t say which court the suit was filed in.

The Shanghai-based bank refused to extend the repayment tenure of loans it gave LDK Solar Hi-Tech (Suzhou) Co. last year, according to the newspaper, which is managed by the official Xinhua News Agency.

Two phone calls to LDK Solar spokesman Li Longji weren’t answered. A call to Shanghai Rural’s media department also wasn’t answered.

To contact the reporter on this story: Feifei Shen in Beijing at fshen11@bloomberg.net

To contact the editor responsible for this story: Reed Landberg at landberg@bloomberg.net