LAWRENCE COUNTY Commission goes ahead with lawsuit

Commissioners will try to recover $150,000 from an unfinished real-estate deal.
By VIRGINIA ROSS
VINDICATOR CORRESPONDENT
NEW CASTLE, Pa. -- In a move they say was overdue, Lawrence County commissioners have authorized the county's attorneys to file a lawsuit against the parties involved in a failed attempt to buy Hill View Manor from the county.
At its weekly meeting Tuesday, the commission declined to provide specifics about the lawsuit except to say it was to be filed at the county prothonotary's office by county attorneys this week.
Commissioners said the complaint is being made in an effort to recover county funds they maintain were wrongfully taken from Hill View, the county-operated nursing home, which closed early last year.
Commissioners said once the lawsuit was filed, it would be available for review by the public at the Lawrence County Government Center.
Named in the complaint are Stephanick Consulting and Stephanick Corp. Inc., George B. Howley, John Hadgkiss and Leonard S. Oddo.
Money transfer
The county is accusing the defendants of the "unlawful taking of county funds by concealment and deception," the resolution said.
The county had been negotiating a deal to sell Hill View to Sylvan Heights Realty Partners, of which Howley and Hadgkiss are principle owners, when it was discovered Sylvan had transferred $500,000 in county funds to its private account before any sale occurred.
In 2003, the sale fell through when the transfer was discovered. The state health department withdrew its approval of the sale after the county claimed Sylvan had taken the money without authorization.
A court order prevented any more money from being moved from the county to Sylvan without the consent of the county controller.
An investigation by the state police and attorney general's office resulted in no criminal findings and no criminal intent by Sylvan or Americare, the company affiliated with Sylvan that was hired to operate Hill View during the sales negotiation.
Meanwhile, throughout the controversy, population at the nursing home declined, and the facility closed down in early 2004.
All but $150,000 has been returned to the county. Commissioners said they are hoping the lawsuit will result in the recovery of that money.