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Zentell Lawsuit Moves Forward After Owner Located – Former Commissioner Tied to Company – Ongoing GBI Investigation

Legal proceedings against Zentell Communications, a Chattanooga-based internet company, are back underway after the company’s owner, Jonathan W. Allen, was served at a residence in Tennessee on June 18. The Chattooga County lawsuit alleges Zentell received more than $330,000 in taxpayer funds for a broadband project in the City of Menlo that was never delivered.

Former Chattooga County Commissioner Blake Elsberry is at the center of the controversy, having authorized the payments to Zentell during his time in office. According to his since updated LinkedIn profile, Elsberry joined Zentell shortly after his 2024 re-election loss, taking on the role of Senior Vice President of Business and Community Development. While serving as commissioner, Elsberry approved a broadband contract with Zentell initially bid at $274,000—but records show the company ultimately received $333,265, a discrepancy that triggered concern from county auditors and Chattooga County Sheriff Mark Schrader.

The contract, funded through the federal American Rescue Plan Act (ARPA), called for two internet towers, a wireless grid, and installation of service for up to 500 customers. Despite the promise of service by November 2024, no residents in Menlo have reported receiving anything. City officials, including current Mayor Kris Willis and Clerk Nicki Hoard, say they were unaware of any such project. Even former Mayor Allen Keen said he had never heard of it.

The county’s lawsuit accuses Zentell and (Jonathan) Allen of fraud, misrepresentation, and misuse of public funds. The Palmour Law Firm is handling the case and seeking repayment of the full contract amount, as well as additional damages and attorney fees.

“A top priority of this administration is public transparency and trust,” said Sole Commissioner Andy Allen. “It is my job to make sure our tax dollars are properly spent and services are being provided before payment is made.”

Concerns about the Menlo internet project are serious enough that Chattooga County Sheriff Mark Schrader requested an investigation by the Georgia Bureau of Investigation. “On March 17, 2025, I requested the Georgia Bureau of Investigation to investigate a complaint that was referred to my office,” Schrader said. “My investigators were given documents from county officials related to what was being reported as questionable activities on a couple of accounts, including the proposed Menlo internet project.” Schrader said the county auditor confirmed there were irregularities—some possibly due to poor record keeping, but others potentially pointing to criminal activity. Based on that information, the GBI was asked to step in and review the case.

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The GBI confirmed this is still an open investigation on July 7, 2025.

AllOnGeorgia reached out to former Commissioner Blake Elsberry for comment regarding the contents of this article. As of the time of publication, he has not responded.

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