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Archive for Thursday, August 26, 2010

Receiver for cemetery in Hutchinson files suit

August 26, 2010

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— The receiver appointed to sell a Hutchinson cemetery whose former owner embezzled hundreds of thousands of dollars is suing to have a Manhattan company removed as fund trustee for the cemetery.

The lawsuit was filed Monday by Ed Nazar, who is charged with selling Fairlawn Burial Park and recovering funds embezzled by its former owner, Sharon McDonough.

Nazar is seeking more than $1.05 million from The Trust Company of Manhattan. He alleges that the trust company did not perform its duties to the trust and asks the court to immediately remove it as fund trustee.

McDonough was sentenced in August to nearly five years in prison after she pleaded no contest to 16 counts related to theft from Fairlawn’s permanent maintenance and merchandise trust funds. She was also ordered to pay more than $600,000 in restitution.

The Hutchinson News reports that the trust company has not filed a response to the lawsuit.

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