Bank challenges state attempt to get money from mobile home park owner

The state's attempt to have the owner of a Miami Twp. home park with a history of water system failures pay EPA-mandated penalties and related costs dating back more than a year is being challenge by a creditor of the site.

Pineview Estates owner Timothy Dearwester could face payments of several million dollars if the court sides with the Ohio Attorney General's Office and finds he and the park liable for costs in the case that led to a January 2016 lawsuit, court records show.

DOWNLOAD OUR MOBILE APPS FOR LATEST BREAKING NEWS

But a bank is questioning the state’s request, claiming a default judgment sought by the AG’s office is “inappropriate,” according to recently-filed documents.

Dearwester's failure to comply with Ohio Environmental Protection Agency and court orders led Montgomery County Common Pleas Judge Mary Wiseman last June to appoint a receiver for the 200-unit mobile home park on Farmersville-West Carrollton Road, barring the owner's involvement at the site that is now the subject of a foreclosure filing.

Pineview creditor North Side Bank and Trust Co. filed for foreclosure Nov. 16, eight days after Dearwester consented to the move, court records show.

MORE: EPA chief says carbon dioxide not primary cause of warming

In January, the attorney for receiver Lahni Consulting LCC indicated in court records that she planned to list the property for sale. The property has been listed, but without a price.

The AG's office filed documents March 2 asking Wiseman to find Pineview and Dearwester in default, and it wants the judge to "grant the injunctive relief requested by the state" that is outlined in last year's lawsuit.

Dearwester agreed to the receivership and “the North Side Bank and Trust Company has cooperated with both (state) and the receiver in funding the repairs and maintenance necessary to insure that the water issue is resolved at Pineview,” according to the bank’s filing.

“The North Side Bank and Trust Company has extended a significant amount of money in making those repairs and has filed a motion to intervene in the action in order to gain standing on a potential sale by the receiver of the property,” the document states.

MORE: Landfill owner agrees with EPA on odor orders

The penalties included in the 2016 lawsuit include unpaid penalties of up to $25,000 per day, and “attorney fees and other enforcement expenses incurred by Ohio EPA and the Office of the Ohio Attorney General,” according to the suit.

“Generally, if that motion is granted then there would likely be a determination or a hearing regarding the penalty and injunction,” Ohio AG spokeswoman Kate Hanson said.

“So the state would present its case at that time,” she added. “But we’re still at the first stage for seeking judgment on liability.”

Attempts to reach Dearwester were unsuccessful.

As of late last week, no hearing date had been set on the issue. Should Wiseman side with the state, the AG’s office does not have an estimate on how much it would seek in penalties and costs, Hanson said.

In a June 2016 hearing, the state sought to fine Dearwester $228,800 for his failure to comply with EPA and court orders. At that time, AG office attorney Tasha Miracle said a safe and reliable water system has always been the top goal in this case.

FOLLOW NICK BLIZZARD ON FACEBOOK

The attorney general’s latest filing states Pineview and Dearwester “have not answered, nor have they filed any motions or responsive pleadings, nor sought a stipulated extension to respond” regarding the case. The inability for those involved in the case to reach Dearwester prompted Wiseman last year to require him to provide reliable contact information.

The AG’s office filing also asks the court to order more than a dozen actions outlined in its lawsuit, including the payment of civil penalties, and costs incurred by its office and the EPA.


CONTINUING COVERAGE

The Dayton Daily News has been committed to covering a Miami Twp. mobile home park owner’s struggle with the Ohio EPA and Attorney General’s office. For comprehensive coverage, go to mydaytondailynews.com

About the Author