- Associated Press - Wednesday, April 19, 2017

LAWRENCE, Kan. (AP) - Lawrence will slash incentives to developers of an upscale hotel to settle a lawsuit that alleged fraud and racketeering.

The Lawrence Journal-World (http://bit.ly/2oLzwGh ) reports that commissioners agreed Tuesday to the settlement in the city’s lawsuit against The Oread hotel near the University of Kansas campus. The city’s attorney says the settlement makes financial sense.

As part of the settlement, The Oread will have to reimburse the city $650,000 and agree to significant reductions in the hotel’s multimillion-dollar incentives agreement. The city initially sought to terminate the agreement.

The settlement also requires hotel developer Thomas Fritzel to resign as a manager of The Oread for the remainder of the hotel’s 20-year incentives agreement. The lawsuit alleged Fritzel improperly collected tax rebates for unrelated purchases.

The developers have previously denied the allegations.

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Information from: Lawrence (Kan.) Journal-World, http://www.ljworld.com

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