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Mott, business partner formally agree to Crescent Beach forfeiture
Property taxes are now delinquent and there isn't money to pay for upkeep of the Crescent Beach restaurant property in Greece. (File photo by Kevin Oklobzija)
Property taxes are now delinquent and there isn't money to pay for upkeep of the Crescent Beach restaurant property in Greece. (File photo by Kevin Oklobzija)
Mott, business partner formally agree to Crescent Beach forfeiture
Listen to this articleKatherine Mott-Formicola and her business partner, Robert Harris, have formally agreed to forfeit proceeds from any government sale of the Crescent Beach Restaurant property, according to documents filed earlier this week in federal court.
In signing the Stipulation and Sale of Real Property and Order, Mott-Formicola also pledged that she will not “reacquire the Crescent Beach property directly or indirectly through family members or others acting in concert with them.”
The 55-year-old restaurateur pleaded guilty in December to financial institution fraud and money laundering for her role in a check-kiting scheme that resulted in nearly $19 million in losses by Five Star Bank, the U.S. Attorney’s Office said. Sentencing, originally set for May, has been pushed back twice and is now scheduled for this fall.
A civil suit by Five Star Bank against Mott-Formicola, Harris and three other co-defendants is continuing and led to the sale of her other entities, including Monroe’s, Rare 3001 and the Wintergarden, and the closure of Divinity Estate & Chapel.
The forfeiture of the historic Crescent Beach property overlooking Lake Ontario in the town of Greece was a requirement of her guilty plea to federal charges. Mott and Harris, through Wexford Glen LLC, each own 50 percent of the long-vacant restaurant, along with seven adjacent parcels on Edgemere Drive.
They bought the properties for $2.39 million in November of 2023, 10 years after a Canadian-based group had announced grand development plans for the restaurant.
The agreement gives receiver Mark Kercher 75 days to sell the properties, although the government can extend the sale period if necessary.
Kercher’s fees of $116,561.50 from the case will be paid out of proceeds from the sale, provided there is at least a $50,000 net surplus for forfeiture to the government. Net proceeds to the government must be at least $50,000.
The court has provided no update regarding potential bidders.
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