Arkansas' highest court says a Hot Springs man can't sue over a university's $700,000 loan to the Oxford American literary magazine, ruling the funds aren't considered tax dollars.
The state Supreme Court on Thursday upheld a lower court's ruling against James McCafferty, who had challenged the University of Central Arkansas' loan to the quarterly magazine based in Little Rock.
UCA loaned the money to the magazine between 2004 and 2008, drawing the funds from profits the school has made from its dorms, bookstore, cafeteria and other auxiliary operations. The magazine has repaid $276,000 of the loan.
McCafferty had argued the loan is still considered public money because it was generated on a taxpayer-supported college campus.