Cheyenne River company lays off most workers
EAGLE BUTTE (AP) — A high-interest personal loan company on the Cheyenne River Sioux Reservation is laying off most of its workers.
KELO-TV reports Western Sky Financial let go nearly all of its employees in Timber Lake Thursday and told workers in Eagle Butte Friday that it will close that location by Sept. 3.
A total of 120 jobs will be lost.
The company blamed "unprecedented government interference."
Western Sky Financial and Payday Financial LLC are being sued by more than a half dozen states and the Federal Trade Commission for their loan practices.
Martin "Butch" Webb owns the companies that issue loans with interest rates as high as 340 percent and says he's immune from the lawsuits because he operates on the reservation and is a tribal member.