One of Central Florida's most troubled home developments, the upscale Bella Collina country-club near Clermont, has been hit with a proposed class action lawsuit by people who bought lots there before the development went dormant in the Great Recession.
The lawsuit alleges that the owners behind the Bella Collina company, including Palm Beach businessman Dwight Schar, actively sought to destroy property values in order to drive out lot owners so they could repurchase the entire project at super-low prices.
The lawsuit alleges Schar and his companies engaged in racketeering, embezzling and conspiracy.
Schar and his local business partner, Randall Greene, aren't commenting. A company backed by Schar called DCS bought Bella Collina lots, the Nick Faldo-designed golf course and the $40 million clubhouse in 2012 for just $10 million.
They had announced new sales would start again in 2014, and announced the started construction on nearly 30 new homes in 2016, but there's been little new construction visible on satellite photos.
Attorneys representing the development have fired back in several court filings, arguing that the plaintiffs in the new lawsuit have already litigated and settled several of the arguments, and that the lawsuit represents a "shotgun" pleading and should be tossed out.
The lawsuit was filed by Orlando attorney Tim McCullough on behalf of lot owners James and Virginia Shelton, Brad and Lana Heckenberg, Bart and Kathryn Sutherin and two others.
They argue that the developers should have turned the Property Owners Association over to the individual owners more than 10 years ago.
"The Defendants illegally usurped control of the POA. The POA, without member authorization, then filed 400 fraudulent lawsuits for the collection of invalid special assessments, which coerced lot owners to surrender their lots," the lawsuit says.