GREENSBORO, N.C. -- The owners of Black Network Television have filed a $50 million civil lawsuit against the City of Greensboro.

On Wednesday, the owners stated that because the city backed out of funding the sitcom they lost money. In June of 2013, City Council agreed to loan the TV network $300,000 for the sitcom called, Watcha Cookin. However a month later, city leaders decided not to fund the show.

The decision followed after a title search revealed the station owners, Michael and Ramona Woods had a second mortgage on a home, which they pledged as collateral.

Greensboro Mayor Nancy Vaughan released the following statement in reaction to the lawsuit:

I am disappointed in the action taken by Michael and Ramona Woods today. Furthermore, I adamantly disagree with any insinuation that City Council makes its decisions based on race. I am confident that the City of Greensboro and City Council acted appropriately last summer in determining not to move forward with the loan for Black Network Television. At the end of the day, the Woods and Black Network Television could not meet the terms and conditions of the loan offer, most specifically those related to the City's lien position on the property that was offered by the Woods as collateral.

The Woodses' lawyer responded in a separate statement saying the city did irreparable damage, adding, in part:

The City of Greensboro s discriminatory acts crushed our client s dream. Michael and Ramona Woods discussed with various city officials what a successful minority owned Greensboro-based television network would mean to the community in terms of job creation, skills and training and economic development. As a result, the Woods put full trust and confidence in the City s promise to grant the economic development loan, only to be misled, misguided, deceived and discriminated against. It isn t right and we will not stand for it!

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