COEUR d'ALENE - Diamond Cup LLC and its chief representatives Doug Miller and Keith Kroetch have been sued by hydroplane race-sanctioning body H1 Unlimited.

According to the lawsuit, Miller and Kroetch signed personal guarantees in March agreeing to pay H1 Unlimited a total of $65,850 in monthly installments, but then failed to make all of the payments.

The guarantees required Diamond Cup to cough up $7,000 per month through this month, and then finish with a payment of $2,850 on Jan. 1.

But by July, H1 Unlimited had already sent a letter to Diamond Cup saying Miller and Kroetch failed to make payments for May, June and July.

The lawsuit was filed on Wednesday in 1st District Court by Coeur d'Alene attorney Michael Hague on behalf of H1.

"This is news to our camp," Miller said Friday night. "It's not surprising. They've been really hard to deal with."

He added: "They tell us they will accept offers, but then they don't accept our offers."

The Press reported earlier this month that H1 had cut all ties with Miller and Kroetch.

H1 Chairman Steve David said at the time that Miller and Kroetch's group of organizers would never again receive a sanction from H1 for a hydroplane racing event.

Miller told The Press earlier this month that his group still holds a state permit to use Lake Coeur d'Alene for racing, and that H1 would need to work with his group if it wanted to return for future races.

A new group, however, could file an application for a permit with the Idaho Department of Lands.

Jim Brady, resource supervisor for lands and waterways with the department in Coeur d'Alene, said Friday that no such applications had been filed.

"I have heard on the street we may get one, just haven't seen one yet," Brady said.