LANSING, Mich. (WOWO) — Michigan legislators are calling for greater transparency as the state works to recover more than $23 million from electric vehicle battery maker Gotion following the termination of a $175 million incentive deal.

Bridge Michigan reports that the Michigan Economic Development Corporation (MEDC) ended its 2022 subsidy agreement with Gotion on October 17, citing a lack of progress toward building a battery plant near Big Rapids. Officials said the decision was based on the company’s “abandonment” of the project.

According to state documents, about $23.67 million from the Strategic Outreach and Attraction Reserve Fund was used to purchase 270 acres in Green Charter Township for the proposed plant. The funds were disbursed through The Right Place economic development organization, which also used a portion for road work and administrative costs.

Lawmakers questioned how the money was spent and whether the state could foreclose on the property if repayment is not made. Representative Tom Kunse of Clare asked for clarification on the ownership of the land and whether a lien held by a California bank affects the state’s ability to recover funds.

An MEDC spokesperson said the state is working with Gotion to resolve the matter and noted that the Michigan Strategic Fund could take title to the land if repayment efforts fail.

The property is estimated to be worth around $6 million, and officials said the goal is to recover the full $23.5 million provided through state incentives.

The deal initially promised up to 2,350 jobs, but the project stalled amid litigation with Green Charter Township and community opposition. The investigation into the state’s subsidy program and its oversight of large incentive agreements is ongoing.