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Purchase agreement rejected in Lamb’s House non-profit case

LISBON –In the case against the Lamb’s House nonprofit in Rogers, Columbiana County Common Pleas Court Judge Megan Bickerton recently granted the receiver’s motion to stay the third party complaint and reject a previous purchase agreement for the property.

A review hearing was held on Jan. 30 when Bickerton accepted the receiver’s first report and plan.

Ohio Attorney General Dave Yost filed the initial complaint in October asking a judge to dissolve Lamb’s House, claiming alleged misuse of the charitable funds and property controlled by board president Mark Altomare.

The case was filed in Common Pleas Court against Lamb’s House and against Altomare, who was reportly living on the nonprofit’s 43-acre Union Ridge Road property. Also named as defendants were the organization’s other board members, Jo Propri of Warren and Randy Clark of East Liverpool. Both Propri and Clark were dismissed from the case after agreeing to consent judgments prohibiting them from being involved in any charitable organizations in Ohio or soliciting on behalf of any such groups.

Bickerton issued her findings in December for the preliminary injunction she granted against Lamb’s house and confirmed the appointment attorney Ken Goldberg of the Columbus law firm Strip Hoppers Leithart McGrath & Terlecky Co. as the receiver of all assets and accounts related to Lamb’s House, with his duties to control everything for the nonprofit, from the property to the bank accounts, any leases, any creditors and even the mail.

The now stayed third party complaint was filed by L & L Real Holdings LLC against the defendants over a contract to purchase the Lamb’s House property, the contract which can now be rejected.

In its response to the receiver’s motion asking to reject the purchase agreement, L & L revealed the purchase price was to be $700,000, with seller financing over 10 years, and as part of the deal, the company paid the back property taxes totaling $50,740. The company claimed the property on Union Ridge Road had been on the market for over a year and the property was originally sold at sheriff sale for $400,000, which is considerably less than their offer.

“The property is quickly deteriorating and a sale now to L & L Real Holding LLC would benefit the estate rather than languish for another year with no buyers,” the reponse said.

The receiver, though, said the contract is “burdensome an detrimental to the estate,” saying the purchase price “may be below current market value and the deal contains contingencies or conditions that would delay and impede the liquidation process.”

The receiver said he would seek higher and better offers through an open-marketing process. He also reported that Altomare was still living in the residential home on the property, which the receiver thought was better than leaving the property vacant for now.

As for the receiver’s report, the receiver said he was only able to identify a few creditors and one open bank account that holds less than $200.

Assets of Lamb’s House as listed in lawsuit documents included a 9-bedroom house, a 13,000 square-foot multi-bed commercial building and two barns on the property, along with at two checking/savings accounts. Lamb’s House was founded as a ministry supporting addiction recovery and was incorporated on July 8, 2002, receiving tax-exempt status on May 16, 2003. The complaint said the board members failed to oversee the operation, allowing Altomare to allegedly help himself to the funds and assets of the nonprofit for his own personal expenses.

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