Chattooga County’s legal battle against Zentell Communications, a Tennessee-based company contracted to provide high-speed internet to the Menlo area, has gained momentum after the company’s owner was located in Chattanooga. The discovery follows nearly two months of searching by law enforcement, The Summerville News reported this week.

The lawsuit alleges that Zentell failed to deliver on its promise to provide internet service to Menlo, despite receiving over $300,000 in county funds. These funds were allocated under the American Rescue Plan Act specifically for expanding internet access.

The development coincides with an ongoing investigation by the Georgia Bureau of Investigation (GBI) into alleged misappropriation of public funds by former Chattooga County Commissioner Blake Elsberry. The GBI investigation was triggered by an audit of the county’s financial records which uncovered discrepancies related to the Menlo internet project.

Chattooga County Sheriff Mark Schrader previously confirmed that his office passed information regarding the situation to the Lookout Mountain Judicial Circuit District Attorney’s Office, leading to the GBI’s involvement.

The lawsuit centers around payments authorized by Elsberry to Zentell Communications while he was still in office. Jonathan W. Allen is listed as the principal agent for Zentell, which was registered in Tennessee in 2023 and operates out of a residential address in Chattanooga. Concerns have been raised about the company’s legitimacy and lack of activity in Menlo.

Adding to the controversy, Elsberry, who lost his reelection bid in May 2024, awarded the contract to Zentell shortly before leaving office in January. He subsequently took a job with the company, further fueling speculation about potential conflicts of interest. Sources have indicated that Elsberry removed mention of his employment with Zentell from his social media profile after the lawsuit was filed.

Despite the significant payment made to Zentell last October, authorities in Menlo report no evidence of any work being completed or progress made on the promised internet project. The lack of visible progress and the circumstances surrounding the contract award have sparked public outrage and demand for accountability within Chattooga County.

The investigation and lawsuit are ongoing as authorities continue to investigate the circumstances surrounding the contract and the disbursement of public funds. This case highlights the importance of transparency and due diligence when awarding contracts, particularly when using public funds designated for vital infrastructure projects.