May 31, 2012

Scarcelli prevails in suit against mother over Conn. housing project

Ann S. Kim

PORTLAND — Former Democratic gubernatorial candidate Rosa Scarcelli has scored a victory in a legal dispute with her mother over housing projects.

U.S. District Judge George Singal ruled Thursday that Pamela Gleichman, Scarcelli’s mother, is not entitled to proceeds from any sale of a subsidized apartment project in Norwalk, Conn. The judge  issued a similar, preliminary injunction in April.

Gleichman, who lives in Illinois, is the managing general partner and Scarcelli is a general partner in Oak Knoll Associates Limited Partnership, which owns the project.

According to Scarcelli, Gleichman is having severe financial problems and has asserted that she is entitled to part of the proceeds from a sale of the project. Scarcelli notes that her mother is seeking to sell the property for a price that is $950,000 less than one she had rejected two years ago.

In his order, Singal found that the terms of the current purchase and sale agreement are inconsistent with reasonable business judgment and that Gleichman’s pursuit of the sale is to advance her personal interests.

Singal ruled that Gleichman must turn over any proceeds from a sale to a trust that is a limited partner in the Oak Knoll project and that Gleichman cannot enter into any contract for the sale of the project without permission from Scarcelli.

Scarcelli has a separate federal suit against her mother and stepfather, Karl Norberg, over alleged mismanagement of housing projects. That case has not yet been resolved.
 
 

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