Onomea Bay is a real estate development loan in Oahu, Hawaii, according to Bridge Capital’s Web site.
Sued in CNMI Superior Court for breach of contract and fraud by inducement were Onomea Bay LLC; Cottonwood Development LLC; North Shore Investors II LLC; The Morgan Group Inc.; and Michael M. Lehrer, “individually and in his capacity as trustee” for The Morgan Group Inc.; Paul Konapelsky; Talmadge Group Inc.; John Ho; John O’Connell; 10 John Does; 10 Jane Does; 10 Doe partnerships; 10 Doe corporations; 10 Doe government agencies; and 10 Doe entities.
Bridge Capital, represented by attorney Timothy Bellas, wants a jury trial.
“Defendant Onomea Bay and the guarantors, Brent Crowder and defendant Cottonwood, defaulted on the loan maturity” on Feb. 13, 2009, according to the complaint.
The complaint said Onomea Bay secured the $4,100,000 loan on Feb. 21, 2008 from Bridge Capital.
Negotiations for the loan started in Nov. 2007 initiated by Lehrer to a Bridge Capital loan officer.
Exchange of e-mails followed, together with other documents and guarantees from the named defendants, leading to the securing of the loan, the complaint said.
There is currently pending a real estate foreclosure action in the Circuit Court of the First Circuit, State of Hawaii, seeking the foreclosure of the Hawaii real estate security for the Onomea Bay loan.
Bridge Capital also learned that Crowder, a guarantor, filed for relief for bankruptcy in California.
“As a result of the default of…Onomea Bay and [the bankruptcy] filing by Brett Crowder…[Bridge Capital] has been damaged by the failure…to execute personal guarantees of the Onomea Bay loan,” the complaint stated.
