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Alleged bum checks written by Southbridge Mall owner for late taxes revives lawsuit from county

This news story was published on November 27, 2018.
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Southbridge Mall

MASON CITY – The owner of Southbridge Mall allegedly wrote a number of bad checks to cover his overdue tax fees, prompting Cerro Gordo county to renew a lawsuit.

On October 3, 2018, a total amount of $177,324.00 in checks was sent to Cerro Gordo county by the owner of Southbridge mall, Southbridge Mall Realty Holding, LLC, to cover overdue taxes. This action led Cerro Gordo county to drop a civil lawsuit, which was brought back in September.

However, on Monday, the Cerro Gordo County Treasurer’s Office announced that they received notice that three of the four checks issued by Southbridge Mall Realty Holding, LLC for the delinquent real estate taxes and interest on the buildings and improvements known locally as Southbridge Mall were returned for non-sufficient funds.

In anticipation of this possibility, the civil action was dismissed without prejudice so that it may be brought again.

County attorneys previously prepared a written demand pursuant to
Iowa law regarding the dishonored checks.

Southbridge Mall Realty Holding, LLC failed to comply with the
written demand, Patricia J. Wright, Cerro Gordo County Treasurer, said in a statement.

“Our attorneys will be refiling the civil action with additional claims for punitive and exemplary damages as allowed by Iowa law.
On advice of our attorneys, my office will have no further
comment on this pending matter.”

Southbridge Mall Realty Holding, LLC, is incorporated in Ohio but owned by Kohan Retail Investment Group in Great Neck, New York, (owned by Tehran Kohansieh AKA Mike Kohan or AKA Mike Kohen).

The City of Mason City is looking to install $12 million arena and $1+ million music pavilion in Kohan’s mall, paid for by general obligation bonds backed by city taxpayers.

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30 Responses to Alleged bum checks written by Southbridge Mall owner for late taxes revives lawsuit from county

  1. Anonymous Reply Report comment

    December 1, 2018 at 2:07 pm

    This is a bunch of crap. This mall owner is dragging his feet, so the city will come and fix up his mall. Than he will use rent money for his taxes. If any one else wrote bad checks they would be in jail. We will all pay for this mess.

  2. Anonymous Reply Report comment

    November 28, 2018 at 2:28 pm

    At the most 10 days to get back from his bank – nothing shady about holding the info until after the election – so when aren’t elected officials not known to be a little slippery – not to worry we just tossed one out in worth county – now watching the hub here in town.

  3. Allen Reply Report comment

    November 28, 2018 at 10:57 am

    Wright won the election, get over it. Wether she’s a crook or not remains to be seen. Besides, crooks in politics seem to be the norm. I wonder what would happen to me if I wrote a bad check for that amount.

  4. WTH? Reply Report comment

    November 27, 2018 at 8:26 pm

    Why would you drop the lawsuit BEFORE the checks cleared? He should be charged for these crimes, I’m sure I would be. So they are voting on starting construction of the hockey rink in the mall location tonight…WTH??? What happened to the $2 million that the MCY Hockey was supposed to come up with?? That’s ok, we’ll pay it. This whole mess stinks from top to bottom!!!

  5. Anonymous Reply Report comment

    November 27, 2018 at 3:33 pm

    Don’t you find it interesting that Patricia Wright withheld the information about the bounced checks until after the elections?

    • Anonymous Reply Report comment

      November 28, 2018 at 11:26 am

      Ya think?

    • NIT Publisher Reply Report comment

      November 28, 2018 at 2:18 pm

      Yes. How could you not know the checks were bad right away? How long does it take someone to figure out checks over $100K are no good? Where is the trail of doc’s from the banks the county deals with? Maybe it’s time to dig deeper – who else is tired of getting lied to?

      • Anonymous Reply Report comment

        November 29, 2018 at 11:52 am

        Yes, please present them with an FOIA letter. They have to respond. I believe this mall owner should have to pay MC attorney fees too for jacking us around as he’s clearly doing. Doesn’t Patricia Wright have any business savey? That’s business 101 that you wait till the checks have cleared before dropping the grievance. Now they are giving him till Dec. 5th. They will probably accept more checks from him again on Dec. 5th. Bahahaha!

        • Anonymous Reply Report comment

          November 29, 2018 at 12:09 pm

          She is being paid (well) and was instructed to mislead the public over the bad checks! She is one of them…. Robin,Slick Willie and their thieving partners planned it that way! They are always trying to cover their asses on the shady dealings they’re involved in…and have been for years. Ya really think they have YOUR best interest in mind instead of there own bank accounts? Think again! Maybe you should hold our fearless and dishonest leaders finacially responsible? Or send them all to prison where they belong! Do you feel you could get away with this ripp-off? I certainly doubt it!

  6. Anonymous Reply Report comment

    November 27, 2018 at 1:32 pm

    I am actually starting to like this mall owner. He got the city off his back for several months with the bad checks. Nothing will come of this. Doesn’t matter that he doesn’t pay his taxes. Mayor Schickle, who likes to eat pickles, and his band of cronies will authorize the start of building the new area tonight.

    • NIT Publisher Reply Report comment

      November 27, 2018 at 3:14 pm

      He should be charged with a crime, complete with an arrest warrant. Does not the county officials feel duped, lied to in this? A crime was committed, he should be charged like anyone else in this town not named Robin (our dear ruler, whom no law applies to).

      • Anonymous Reply Report comment

        November 27, 2018 at 3:45 pm

        Of course he should. However, I wouldn’t be surprised if he got a phone call to do such a thing with the assurance nothing will happen as a result of his actions. After all, didn’t it make Mrs. Wright look on top-of-her-game, that she was able to get him to pay up? All before the November elections of which she was definitely trailing behind.

        • Anonymous Reply Report comment

          November 27, 2018 at 3:59 pm

          Id like to know the date the checks were cashed, or at least tried to be. Id bet money she did withhold information. Shes a crook, and associates with people who make themselves look good to the public, but do nasty things behind closed doors.

          • Anonymous

            November 27, 2018 at 10:50 pm

            You are right on !

          • Anonymous

            November 28, 2018 at 2:04 pm

            Shouldn’t a “Freedom of Information Act” obtain this information? The dates normalled are notedas to when they were declined. I’ll bet money on it. They don’t hold my checks when I pay my property taxes so she had to have known within days of the deposit. This whole thing was to get the public off the subject of her $8,000 mistake. No doubt. Lots of dirty things happen at our court house. I don’t believe the election results either. I saw tons of signs for her opponent. In my opinion, no way she had the large of a lead.

  7. Anonymous Reply Report comment

    November 27, 2018 at 12:33 pm

    The mall would be a money pit for the city if they took it over.

  8. Allen Reply Report comment

    November 27, 2018 at 12:30 pm

    The mall was sold for 1.5 million and the K-Mart building sold for 3.5 million, go figure.

  9. Anonymous Reply Report comment

    November 27, 2018 at 9:34 am

    NOW can the city seize the property and do something with it??

    • Anonymous Reply Report comment

      November 27, 2018 at 11:49 am

      City seize the property?!?! Do you think this is communist Russia???

      The tax liability will now go to tax sale.

    • NIT Publisher Reply Report comment

      November 28, 2018 at 2:22 pm

      Good question. Why not seize the property? No rent payments due on that fancy ice skating rink hardly anyone will ever use if City builds it and owns it. I’m sure if any of us were even a few days late paying our taxes, we’d be in a heap of trouble. Double standards abound in Mason City.

      • Anonymous Reply Report comment

        November 28, 2018 at 4:45 pm

        Anyone could be a year arrears in property tax payments with no real consequence other than having to pay exorbitant interest on past due amounts. So the contention that the mall owner is getting special treatment is false.

        The arena is being partially paid for the property tax liability it creates. If the city were to own it, there is no tax liability (cities don’t pay property tax) so there is no money to fund its construction and pay debt service

  10. Pray your leaders come to their senses!!!!! Reply Report comment

    November 27, 2018 at 8:47 am

    Nobody in their right mind would build anything in that Mall. The greed has blinded the greedy. The Chamber of Commerce, Mayor, and City Council have lost their ability to reason.

    This entire project should be put on the trash heap. It is a loser any way you look at it.

    • Anonymous Reply Report comment

      November 27, 2018 at 7:29 pm

      It will continue because it’s Robin, Slick Willie, and the rest of the elected thieves’ cash cow….no f***ing way will they stop the insanity! You the taxpayers haven’t seen anything YET!

      • NIT Publisher Reply Report comment

        November 28, 2018 at 2:16 pm

        You can’t stop this madness because the elected leaders are picked at 9 North Federal – the true seat of power in town. Once elected, they become puppets of Dear Leader Robin. I’d bet a shiny new nickel she called up the dissenting councilman who voted NO last night, Josh Masson, and gave him a huge scolding.

  11. Anonymous Reply Report comment

    November 27, 2018 at 8:33 am

    The city has to be out of it’s flippin mind to deal with these crooks.

  12. Lawsteward Reply Report comment

    November 27, 2018 at 6:33 am

    …and you are surprised these checks bounced because of “what”…

  13. Doctorcy80 Reply Report comment

    November 27, 2018 at 5:52 am

    Bad Check Laws In Iowa

    by Thomas Vargo

    Below are the civil and criminal penalties for writing a bad check in Iowa under State Statute TITLE XIII – COMMERCE SUBTITLE 5. – REGULATION OF COMMERCIAL ENTERPRISES, CHAPTER 554 – UNIFORM COMMERCIAL CODE, 554.502 – 554.3806.

    Civil Penalties: The plaintiff shall recover from the defendant total damages equaling three times the face value of the dishonored check, which sum shall include the face value of the check. However, total recovery shall not exceed more than five hundred dollars of the amount of the check and may be awarded only if the plaintiff made written demand to the defendant for payment of the amount of the check not less than thirty days before commencing a civil action. Under certain circumstances the plaintiff may also seek to collect or recover punitive or exemplary damages, or civil damages.

    Criminal Penalties: First offenses for dishonored check amounts under $50 can result in a $300 fine and six months in jail. Second offenses can land a one year jail sentence and a $1,000 fine. Third offenses and bad check amounts of $50 or more can result in $5,000 of fines and three years in prison. Please note that criminal penalties will differ for each situation so it is advised to check with the Iowa court system or a Attorney to discuss your particular situation and to find out the most current laws for writing bad checks.

    • Anonymous Reply Report comment

      November 27, 2018 at 11:25 am

      Maybe the county/city can do a plea bargain–let him off the criminal charges of bad checks if he hands over ownership of the mall.